Does Gross Salary Include Super? No, Super Is Paid On Top

Does Gross Salary Include Super? The Short Answer

No, gross salary in Australia does not include superannuation. When you see a salary figure – whether it’s the national minimum wage, an award rate, or a job offer – that amount is your base pay before tax and before the super guarantee. Your employer pays super on top of your gross salary, currently at 12% from 1 July 2026.

This distinction matters because your total employment cost is higher than your gross salary. For example, if your gross salary is $80,000, your employer also contributes $9,600 in super, making the total cost $89,600. But your take-home pay is calculated only from the $80,000 gross, minus tax and Medicare.

How the Salary Index Shows Gross Pay

The Salary Index sets the national line at 100, which equals full-time adult ordinary-time earnings of $2,083.70 per week, annualised to $108,352 (ABS Average Weekly Earnings, May 2026). This is a gross figure – it does not include super. When you compare a pay rate to the index, you are comparing gross pay only.

For instance, the national minimum wage from 1 July 2026 is $26.44 per hour, $1,004.90 per week, or $52,255 per year. That gives an index of 48.2. The super guarantee adds 12% on top, but the index stays at 48.2 because it measures gross salary alone.

State Differences in Gross Salary

Gross salaries vary significantly across states and territories. The index figures below are gross ordinary-time benchmarks:

• ACT: index 109.9 – annualised $119,090
• WA: index 106.9 – annualised $115,825
• NSW: index 101.2 – annualised $109,658
• VIC: index 98.0 – annualised $106,137
• QLD: index 97.9 – annualised $106,064
• NT: index 95.2 – annualised $103,173
• SA: index 94.6 – annualised $102,450
• TAS: index 88.6 – annualised $96,008

These are gross figures. In every state, the super guarantee is the same percentage, so the total employment cost is proportionally higher. For example, a worker in WA on the state benchmark gross of $115,825 would also receive $13,899 in super, while a worker in TAS on $96,008 would get $11,521 in super. The gross salary difference is the main driver of take-home pay differences.

Industry Differences in Gross Salary

Industry also shapes gross pay. The industries page shows benchmarks:

• Mining: index 154.7 – gross $167,618
• Professional, scientific and technical: index 114.7 – gross $124,280
• Education and training: index 105.5 – gross $114,311
• Health care and social assistance: index 97.8 – gross $105,968
• Retail trade: index 75.9 – gross $82,239
• Accommodation and food services: index 72.5 – gross $78,555

Again, these are gross salaries. Super is added on top. A miner on $167,618 gross gets $20,114 super, while a retail worker on $82,239 gets $9,869 super. The gross salary difference is stark, and it directly affects take-home pay and living standards.

Awards, Minimum Wage, and Super

Modern awards set minimum gross pay rates for classifications. From 1 July 2026, award minima rose by 4.75%. The entry-level award floor is $25.74 per hour gross. The national minimum wage for adults is $26.44 per hour. Both are gross rates – super is extra.

For junior employees, the national minimum wage is a percentage of the adult rate. For example, a 17-year-old gets $15.28 per hour gross (based on the adult $26.44 multiplied by the junior percentage). Super is still paid on top at 12% of the gross amount.

Casual employees receive a loading (often 25%) on top of the base rate. For the national minimum wage, that’s $33.05 per hour gross. The loading is part of gross salary, not super. Super is calculated on the total gross including the loading.

Why This Matters for Your Pay

Understanding that gross salary does not include super helps you compare job offers and negotiate. If an employer says “$90,000 package including super”, your gross salary is actually about $80,357 ($90,000 ÷ 1.12). If they say “$90,000 plus super”, your gross is $90,000 and super is extra.

For tax purposes, your assessable income is your gross salary (including any salary-sacrificed amounts). Super contributions are not taxed in your hands; they are taxed at 15% inside the fund. The Medicare levy (2%) applies to your gross salary, not to super.

When you use the pay guides or the Salary Index, remember that all figures are gross unless stated otherwise. The index is a tool to see where your gross pay sits against the national line. Super is always additional.

Common Confusions

Some people think “gross salary” includes everything the employer pays, including super. That is incorrect. In Australian employment, gross salary is the base earnings. The total cost to the employer is gross salary plus super plus any other on-costs like payroll tax and workers’ compensation insurance. For employees, the key figure for your budget is your gross salary minus tax and Medicare.

Another confusion is the term “salary package. Some contracts list a total package that includes super. Always ask for a breakdown. The Fair Work Ombudsman and the ATO treat salary and super separately. If you are on an award, your gross pay is the award rate, and super is on top.

Final Takeaway

Does gross salary include super? No. Super is paid on top of your gross salary. The national line, state benchmarks, and industry indices – all are gross. Use the 12% super guarantee from July 2026 to calculate the extra contribution. For your take-home pay, only the gross matters for tax. For your retirement savings, the super adds up over time.

For more details, see topics for related explanations, or check states and industries to see how gross pay varies across Australia.