What is a salary certificate? Gross pay, super, and tax explained

What is a salary certificate?

A salary certificate is a formal document issued by an employer that confirms an employee's earnings over a given period. It is often requested by banks, landlords, or government agencies to verify income. In Australia, there is no single mandated format, but the certificate typically includes gross pay, superannuation contributions, and tax withheld. It differs from a payslip, which covers a single pay period, and from an ATO income statement, which is generated by the tax office from employer reports.

Because a salary certificate is used to prove your financial position, understanding what it shows about your gross pay, super, and tax is important. This article explains how those components work and where your earnings sit on the Salary Index.

Gross pay on a salary certificate

The gross pay figure on a salary certificate is your total earnings before any deductions. This includes your base salary, overtime, bonuses, commissions, and allowances. For most employees, the minimum gross pay is set by the relevant modern award or the National Minimum Wage.

As of 1 July 2026, the National Minimum Wage is $26.44 per hour or $1,004.90 per week, annualised to $52,255. That gives a Salary Index of 48.2, meaning it is just under half of the national benchmark. The benchmark is full-time adult ordinary-time earnings, which the Australian Bureau of Statistics reported at $2,083.70 per week in May 2026, annualised to $108,352. That figure is the index baseline of 100.

If your salary certificate shows a gross annual salary of $80,000, your index would be about 74. A salary of $130,000 would be around 120. These comparisons help you see where you stand relative to the average full-time worker.

Superannuation on a salary certificate

Employer superannuation contributions are a separate line on most salary certificates. From 1 July 2026, the super guarantee rate is 12% of ordinary time earnings, up from 11.5% the previous year. The maximum contribution base for the quarter is $270,830 per year, meaning super is only required on earnings up to that amount.

For example, if your gross salary is $80,000, your employer must contribute $9,600 in super each year. That amount is not included in your gross pay figure because it goes directly into your super fund. Some salary certificates show the super contribution alongside the gross pay, while others list it separately. When comparing job offers, remember that total remuneration includes both salary and super.

Tax on a salary certificate

A salary certificate may also show the amount of tax withheld during the year. For the 2026–27 income year, the resident tax rates (excluding Medicare) are:

• Nil on the first $18,200
• 15% on income from $18,201 to $45,000
• 30% on income from $45,001 to $135,000
• 37% on income from $135,001 to $190,000
• 45% on income above $190,000

In addition, the Medicare levy is 2% of taxable income. These rates apply to your gross pay after deductions. A salary certificate that shows year-to-date tax withheld can help you estimate your refund or bill at tax time.

For example, on a gross salary of $80,000, the tax (including Medicare) would be roughly $16,867, leaving a take-home of about $63,133. That is before any HELP repayments, salary sacrifice, or other adjustments. The pay guides from the Fair Work Ombudsman can help you check that your award rates are correct.

How the Salary Index relates to your certificate

The Salary Index is a simple way to compare any gross annual salary to the national line. You take the yearly gross figure from your salary certificate, divide it by the national benchmark of $108,352, and multiply by 100. The result is your index number.

For instance, a salary certificate showing $60,000 gives an index of 55.4. One showing $150,000 gives an index of 138.5. This works for any occupation or industry. You can see how different states and industries compare on our states and industries pages.

What if your salary certificate doesn't match award rates?

If the gross pay on your salary certificate is lower than the minimum rate under your award or the National Minimum Wage, you may be underpaid. The Fair Work Ombudsman provides tools to check your correct pay. For example, the entry-level award floor is $25.74 per hour, and award minima rose by 4.75% from 1 July 2026. Casual employees also receive a loading, typically 25%, which would bring the minimum casual rate to $33.05 per hour.

Junior employees have lower minimum rates based on age. For the National Minimum Wage, the junior rates from 1 July 2026 are:

• Under 16: $9.73/hr
• 16 years: $12.51/hr
• 17 years: $15.28/hr
• 18 years: $18.06/hr
• 19 years: $21.81/hr
• 20 years: $25.83/hr

These are percentages of the adult rate. Your award may set different junior rates, so always check the specific award.

Using a salary certificate for loans and rentals

Banks and landlords often ask for a salary certificate to verify your income. They will look at the gross pay figure to assess your ability to repay a loan or pay rent. Some lenders also consider your superannuation as part of your total financial position, but it is not counted as disposable income. The tax withheld figure helps them understand your net income.

If you are self-employed, you may not have a salary certificate from an employer. Instead, you can use tax returns or ATO income statements. The how the index works page explains how to calculate your index if your income varies.

Final thoughts

A salary certificate is a straightforward document, but it contains key numbers that affect your financial life. Understanding gross pay, super, and tax helps you negotiate better, plan for retirement, and know your rights. The Salary Index gives you a quick benchmark to see where you stand against the national average. For more detailed comparisons, explore our topics page.