Calculate how much you are owed in back pay if you have been underpaid by $1 per hour for 3 months.
Last verified: 21 May 2026If you've been underpaid, your employer must back-pay the difference plus 12% super on the shortfall. There's no time limit on claiming wages owed, but the Fair Work Ombudsman recommends acting within the 6-year limitation period to preserve your claim.
AIGot a tricky case? Ask FairWork Mate AI — 1 free question, no signup →You are owed approximately $497.09 in back pay
Based on $1 per hour underpayment over 3 months (38 hours/week = $38.00/week underpaid), plus estimated interest at 5% p.a.
| Underpayment rate | $1 per hour |
| Hours per week (full-time) | 38 |
| Weekly underpayment | $38.00 |
| Duration | 3 months (~13 weeks) |
| Unpaid wages | $494.00 |
| Estimated interest (~5% p.a. simple) | $3.09 |
| Total owed (estimate) | $497.09 |
This estimate does not include unpaid superannuation, penalty rates, or overtime. Actual amounts may be higher. Use our Back Pay Calculator for a more detailed calculation.
Important: Under the Fair Work Act, you can claim back pay for up to 6 years from the date you lodge your claim. Any underpayment older than 6 years is statute-barred and cannot be recovered.
Your underpayment period of 3 months is within the 6-year limit. However, the sooner you act, the more you can recover — and the underpayment may still be ongoing.
[Your Name]
[Your Address]
[Date]
[Employer Name]
[Employer Address]
Re: Underpayment of Wages
Dear [Manager/HR],
I am writing to formally notify you that I believe I have been underpaid in my role as [Job Title] at [Company Name].
Based on my calculations, I have been underpaid by approximately $1 per hour for the period of 3 months, resulting in a total underpayment of approximately $494.00.
Under the Fair Work Act 2009, I am entitled to recover these unpaid wages. I request that this amount be paid within 14 days of receipt of this letter.
If I do not receive a satisfactory response, I intend to lodge a formal complaint with the Fair Work Ombudsman.
I am happy to discuss this matter and provide any supporting documentation.
Yours sincerely,
[Your Name]
This is a general template only and does not constitute legal advice. Modify it to reflect your specific circumstances.
See how total back pay varies by underpayment amount and duration (wages only, excluding interest):
Our interactive calculator includes superannuation shortfall, penalty rates, and custom hours. Check if you are being underpaid or find your correct award rate.
If you were underpaid by $1 per hour for 3 months (working 38 hours/week, that's $38.00/week underpaid), you are owed approximately $494.00 in unpaid wages plus an estimated $3.09 in interest, totalling approximately $497.09.
Start by raising the issue directly with your employer in writing, detailing the amounts and dates of underpayment. If they refuse to pay, contact the Fair Work Ombudsman on 13 13 94 or lodge a complaint at fairwork.gov.au. For claims under $20,000, you can use the Small Claims division of the Federal Circuit Court without a lawyer.
Under the Fair Work Act 2009, you can claim back pay for up to 6 years from the date you file your claim. This is a strict limitation period. Any underpayment older than 6 years is statute-barred and cannot be recovered. Act quickly to preserve the maximum claim amount.
Yes. Courts can award interest on underpaid wages, typically at around 5% per annum simple interest. In this scenario, estimated interest over 3 months is approximately $3.09. The actual rate may vary depending on the court and circumstances.
You should gather payslips, timesheets, rosters, bank statements showing payments received, your employment contract or letter of offer, and any applicable Modern Award or Enterprise Agreement. Screenshots of text messages or emails discussing your pay rate are also useful evidence.
“I'm using the Underpaid $1/hour for 3 months — How Much Back Pay? on FairWork Mate. Walk me through what this typically tells me and what I should do next.”
Ask FairWork Mate AI →
Get notified when rates change
Free alerts when minimum wage, award rates, or workplace laws are updated.
Free forever. No spam. Unsubscribe anytime.
Stuck on your numbers?
Ask our AI advisor — it'll talk you through your specific situation in seconds.
FairWork Mate is an independent commercial service. We are not affiliated with, endorsed by, or associated with the Fair Work Ombudsman, the Fair Work Commission, or any Australian Government agency. Content is general information and estimates only — not legal, financial, or tax advice. Always verify with the Fair Work Ombudsman (13 13 94) or a qualified professional.
Free tools surface the issue. Our partners help you solve it.
Authorised Employment Hero Partner
Australian HR, payroll, rostering and award interpretation in one platform. Used by 300,000+ businesses. Fixes the underlying payroll/compliance issues our calculators surface.
Best for: SMEs that have outgrown spreadsheet payroll or want automated award interpretation.
See Employment HeroLaw Tram — lawyer matching
Matched with the right Australian lawyer for your situation — unfair dismissal, underpayment, workplace injury, debt, tenancy and more. Many lawyers offer a free first consult and no-win-no-fee arrangements.
Best for: anyone whose workplace or personal legal issue needs proper advice, not just a calculator.
Find a lawyerIT, Microsoft & cyber partner
Microsoft 365, Copilot rollouts, Essential Eight, Privacy Act 2026 and board-level cyber compliance for Australian SMBs. Where pay and HR end, your data and IT obligations begin.
Best for: SMBs running on Microsoft 365, anyone hitting cyber/privacy compliance, boards wanting an outside read on IT risk.
See FrontrowAffiliate partners — commissions fund the free tools on this site. We only recommend partners we've vetted as a good fit for Australian workplaces.