What Is the Minimum Wage in Victoria? Awards vs National Minimum Wage Explained

What Is the Minimum Wage in Victoria?

The minimum wage in Victoria is the national minimum wage set by the Fair Work Ombudsman. As of 1 July 2026, it is $26.44 per hour for adult employees, or $1004.90 per week (annualised $52,255). This rate applies to all states and territories, including Victoria. On the Salary Index, the national minimum wage sits at 48.2 – meaning it is just under half of the full-time adult ordinary-time earnings benchmark of $108,352 per year (index 100).

Victoria’s average earnings index is 98 (annualised $106,137), slightly below the national average. This gap highlights that while the minimum wage is a legal floor, most full-time workers in Victoria earn well above it.

Awards vs National Minimum Wage

The national minimum wage is the base rate for employees not covered by a modern award or enterprise agreement. However, most Australian workers – including those in Victoria – are covered by a modern award. Awards set minimum pay rates for specific industries and occupations, and these rates are often higher than the national minimum wage.

For example, the entry-level award floor (the lowest adult rate in any modern award) is $25.74 per hour, which is close to the national minimum wage but can be higher for more skilled classifications. From 1 July 2026, award minima rose by 4.75%, so many award rates are now above the national minimum.

If you work in an award-covered job in Victoria, your minimum wage is likely the award rate, not the national minimum. For instance, a retail employee under the General Retail Industry Award might earn $27.50 per hour for a Level 1 adult, while a hospitality worker under the Hospitality Industry (General) Award could earn $28.00 per hour. These rates are set by Fair Work and updated annually.

How the Index Helps You Compare

The Salary Index converts annual gross pay into a simple number where 100 equals the national average. For the national minimum wage, the index is 48.2. For Victoria’s average earnings, it’s 98. This means the minimum wage is about half of what the typical full-time worker earns in Victoria.

If you are paid under an award, your index will likely be higher than 48.2. For example, a professional in the scientific or technical sector (index 114.7) earns well above the minimum. Even in lower-paying industries like retail trade (index 75.9) or accommodation and food services (index 72.5), the average pay is significantly above the national minimum wage.

Junior and Casual Rates in Victoria

The national minimum wage includes specific rates for junior workers (under 21). These are calculated as a percentage of the adult rate. For example, a 16-year-old in Victoria earns $12.51 per hour (the adult rate multiplied by the junior percentage). A 20-year-old earns $25.83 per hour. Note that modern awards can set different junior rates, so always check your award.

Casual employees receive a 25% loading on top of the minimum wage, making it $33.05 per hour for adults. This loading compensates for the lack of paid leave. In Victoria, casual workers are common in hospitality, retail, and healthcare.

Superannuation and Tax Considerations

Employers must pay superannuation guarantee at 12% from 1 July 2026 on top of your wages. This applies to all employees earning above $450 per month. The maximum contribution base is $270,830 per year.

For tax, the 2026–27 resident 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

Plus a 2% Medicare levy. So a full-time worker on the national minimum wage ($52,255) would pay about $6,800 in tax and Medicare, leaving a take-home of roughly $45,455 per year.

State-Specific Awards in Victoria

While the national minimum wage is federal, some state-based awards still exist in Victoria for certain industries (e.g., the Victorian Local Government Award). These awards may set different minimum rates. However, since the Fair Work Act 2009, most awards have been modernised into national system awards. If you are unsure, check with the Fair Work Ombudsman or your employer.

For more details on pay across different states, see our states page. You can also explore industries to see how your sector compares. And if you want to understand the index better, read how the index works.

Summary

The minimum wage in Victoria is the national minimum wage of $26.44 per hour (index 48.2). But for most workers, the actual minimum is higher due to modern awards. Victoria’s average earnings index of 98 shows that the typical full-time worker earns about double the minimum wage. Always check your award or agreement to know your legal minimum.

If you need to compare your pay, use the Salary Index to see where you stand. And for more guides on pay rates, visit our pay guides section.