Weekly tax table 2026-27: A guide for Australian employers

What is the ATO weekly tax table?

The ATO weekly tax table is used by employers to determine how much PAYG withholding to deduct from an employee’s weekly payment. It provides the withholding amount based on the employee’s weekly earnings and relevant situations, helping employers calculate the correct amount to withhold from each pay.

The standard weekly tax table applies to relevant weekly payments, including salary, wages, and other payments. However, the ATO provides separate PAYG withholding schedules for specific payment types and worker categories, such as working holiday makers, horticultural and shearing workers, performing artists, and termination payments.

Employers must use the tax table that matches the employee’s pay frequency. The ATO provides separate tables for weekly, fortnightly, and monthly payments, with each table designed to calculate withholding for its applicable pay period.

The withholding amount depends on several factors, including

• The employee's gross weekly earnings
• Whether they have claimed the tax-free threshold
• Whether they have a study or training support loan
• Whether they have provided information affecting their withholding
• Whether another ATO withholding schedule applies

Remember that the withholding money through PAYG isn’t necessarily the employee’s final tax liability. The withholding amount is collected throughout the year and taken into account when the employee lodges their tax return.

2026–27 weekly tax table

As per the Australian Taxation Office, employers must use the latest ATO withholding tables for payments made from 1 July 2026 for the 2026–27 financial year. Below, we’ve provided a few examples to see how the weekly PAYG withholding changes as gross earnings increase for an Australian resident for tax purposes.

*These examples are based on the 2026–27 ATO weekly tax table for an Australian resident employee claiming the tax-free threshold. For the withholding amounts, use the ATO weekly tax table for 2026-27. The ATO table includes separate withholding columns for employees claiming the tax-free threshold and those not claiming the tax-free threshold.

Note: In case an employee’s earnings or circumstances don’t match a simple example, use the full ATO table or the ATO tax withheld calculator.

How to use the weekly tax table

Follow the steps below when processing the ATO weekly tax table 2026.

1. Calculate the employee’s gross weekly earnings

Check the employee’s earnings for the relevant pay period. This can include regular wages and other payments or allowances that are subject to PAYG withholding. For payments, such as overtime, irregular payments, or specific allowances, apply the relevant ATO withholding rules to determine how they must be treated.

2. Ignore cents when determining earnings

Ignore cents when determining the employee’s earnings for the weekly tax table lookup. When calculating the withholding amount, round to the nearest dollar, with amounts ending in 50 cents rounded up, in line with the current ATO withholding rules.

3. Check the tax-free threshold

Confirm if the employee has claimed the tax-free threshold. If an employee has multiple jobs, check which payer they have nominated to claim the tax-free threshold. The tax-free threshold usually must not be claimed from more than one payer at the same time, subject to the ATO’s rules for employees with multiple jobs.

4. Find the relevant earnings range and select the right withholding amount

Locate the employee’s weekly earnings in the ATO weekly tax table. Then, select the withholding column that matches the employee’s circumstances, including whether they’re claiming the tax-free threshold, not claiming the tax-free threshold, or are a foreign resident. You must also check whether the employee has provided a TFN, as this can affect the applicable withholding calculation.

5. Look for additional withholding considerations

Before finalising the payroll, check whether another withholding schedule, adjustment, or other circumstances applies. Specifically, check whether the employee has a study and training support loan obligation, as the 2026-27 tax tables incorporate updated repayment thresholds. Other situations include:

• Tax offsets
• Medicare levy variations
• Foreign-resident withholding
• Certain types of payments

Use the relevant ATO schedule or instructions where a payment or employee circumstances require a different withholding treatment.

Weekly tax table vs fortnightly tax table

The right tax table depends on how frequently the employee is paid.

The ATO has separate tables for these pay frequencies, so use the table that matches the employee’s pay frequency.

Is a fortnightly tax table simply double the weekly tax table?

The answer is no. A fortnightly withholding amount isn’t simply double the weekly amount. Therefore, employers must not simply multiply the weekly withholding figure by two. The ATO provides a separate fortnightly tax table with its own calculation for the fortnightly pay period, so the withholding amount must be taken from the applicable fortnightly table instead of calculating it by doubling the weekly result.

What changed for the 2026–27 financial year

The 2026–27 tax year started on 1 July 2026. The ATO issued updated PAYG withholding schedules and tax tables for payments made from this date. The updates include the legislated personal income-tax rate changes and the indexation of study and training support loan repayment thresholds.

The 15% tax rate

For Australian residents for tax purposes, the 2026–27 income tax structure includes a 15% marginal tax rate for taxable income from AUD $18,201 to AUD $45,000. This rate applies from 1 July 2026, with the 2026–27 PAYG withholding tables incorporating the legislated change.

These are annual personal income-tax rates, not weekly PAYG withholding amounts. Employers must use the applicable 2026–27 ATO withholding table to determine the amount to withhold from each weekly payment.

The ATO's 2026 PAYG withholding tax-table release confirms that the 2026 tables incorporate the personal income-tax rate changes and the indexation of study and training support loan repayment thresholds.

What employers need to update for 2026-27?

If you’re still using a previous year's tax table, then your withholding won’t reflect the current year’s rules. So, at the beginning of a new financial year:

• Update your payroll software to the current 2026–27 version.
• Use the current ATO withholding tables for payments made from 1 July 2026.
• Check that employee declarations and withholding information are up to date, including tax-free threshold claims and TFN details.
• Review study and training support loan settings for employees with applicable loan obligations.
• Annual updates: Payroll teams should review their withholding tables, payroll software, manual calculations, and relevant ATO rates and thresholds at the start of each financial year.

A practical weekly payroll checklist for businesses

Before processing your weekly payroll, ensure you check:

Employee information

• Record the TFN declaration
• Tax-free threshold status is correct
• Residency status for tax purposes is correct
• Study/training loan status is correct

Pay calculation

• Gross weekly earnings are correct
• Assess relevant allowances and irregular payments for withholding
• Use the correct weekly tax table
• Select the correct withholding column

Adjustments

• Check tax offsets
• Check medicare levy variations
• Assess any special payment type

Reporting

• Record PAYG withholding correctly based on the applicable ATO tax table
• Report payroll information through STP when employees are paid, including salaries and wages, PAYG withholding and superannuation information
• Retain required payroll records in line with ATO record-keeping requirements

What if there are 53 weekly pay periods?

The standard weekly tax table is based on 52 weekly pay periods, so employers must continue using the standard weekly table when a financial year has 53 weekly pay periods. If an employee is concerned about a potential tax shortfall, they can ask the payer to withhold an additional amount from each weekly payment.

For 2026–27, the additional weekly withholding amounts are:

• $875–$2,574: an additional $3 per week
• $2,575–$3,649: an additional $7 per week
• $3,650 or more: an additional $12 per week

These additional amounts are used when the payee asks for extra withholding to help account for the additional pay period.

How Aspire fits into the broader finance workflow

Running payroll involves more than calculating the right PAYG withholding. Finance teams also need to track business expenses, employee reimbursements, and company spending that occur alongside payroll. Aspire helps you manage these payments and expenses alongside the rest of your finance workflow.

With Aspire, finance teams can manage business payments and expense management, including tracking employee expenses and reimbursements and monitoring company spending. This can reduce the manual work involved in collecting, reviewing, and reconciling expense transactions alongside regular payroll processes.