How much tax do backpackers pay in Australia?

Working holiday makers (subclass 417 and 462 visas) pay 15% on the first $45,000 of income, then $6,750 plus 30c for each $1 from $45,001 to $135,000, 37% to $190,000 and 45% above that. There is no tax-free threshold. These are the ATO's published 2025-26 working holiday maker rates (checked July 2026) and they only apply if your employer is registered with the ATO as a WHM employer.

What if my employer is not registered as a working holiday maker employer?

If your employer is not registered with the ATO as an employer of working holiday makers, they must withhold tax at foreign-resident rates instead — 30% from your very first dollar up to $135,000, then 37% and 45%. On $1,000 a week that is $300 withheld instead of $150. Employer registration is free, so it is worth asking your employer to register.

Do backpackers get superannuation in Australia?

Yes. Employers must pay superannuation of 12% of your ordinary time earnings in 2026-27, on top of your wage — the same as for Australian workers. When you leave Australia and your visa ends, you can claim this back as a Departing Australia Superannuation Payment (DASP). DASP is taxed at a flat 65% for working holiday makers, so you keep roughly 35% of your super balance.

Do working holiday makers pay the Medicare levy?

Generally no. Most working holiday makers are foreign residents for tax purposes and can claim a full Medicare levy exemption in their Australian tax return (exemption category 2), because they are generally not entitled to Medicare benefits. If you are an Australian resident for tax purposes, or from a non-discrimination article (NDA) country, different rules can apply — check your position with the ATO.

Can I work for the same employer for more than 6 months on a 417 or 462 visa?

Visa condition 8547 limits working holiday makers to 6 months with any one employer, but broad exemptions have applied since 1 January 2024 and remain in place as at July 2026: you can work longer for the same employer if you work in different locations (no single location over 6 months), or anywhere in Australia in plant and animal cultivation, natural disaster recovery, or critical sectors including agriculture and food processing, health, aged and disability care, childcare, and tourism and hospitality — plus fishing and pearling, tree farming and felling, construction and mining in Northern Australia. Outside these exemptions you need Home Affairs permission. These settings apply until the Government makes further decisions.

Do backpackers need to lodge an Australian tax return?

Not always. You do not need to lodge a tax return (or a non-lodgment advice) if all your income was salary or wages earned as a working holiday maker and your total taxable income for the year was under $45,001. You will need to lodge if you earn more than that, want to claim deductions, or think you qualify for resident tax treatment as a WHM from a non-discrimination article country.

Backpacker Tax Calculator (417 & 462 Visas)

Estimate your Australian take-home pay as a working holiday maker: 15% WHM tax (or 30% foreign-resident rates if your employer isn't registered), super and the DASP you'd keep when you leave, plus a check of your rate against the $33.05 casual minimum wage.

Last verified: 20 July 2026

Visa subclass

417 — Working Holiday

462 — Work and Holiday

Both visas are taxed identically as working holiday makers.

How do you want to enter your pay?

Hourly rate

Best for checking your rate against the minimum wage.

Total gross pay for the stay

Hourly rate (before tax)*

$/hr

Casual minimum from 1 July 2026 is $33.05/hr; permanent minimum is $26.44/hr.

Hours per week*

hrs

Weeks worked*

wks

Weeks in this Australian financial year (1 July to 30 June).

My employer is registered as a WHM employer with the ATO

Registered employers withhold 15% on your first $45,000. Unregistered employers must withhold at foreign-resident rates — 30% from your first dollar. Ask your employer, or check your payslip's tax rate.

I'm employed as a casual

Most working holiday jobs are casual — casuals get a 25% loading on top of the minimum wage.

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General information and estimates only — not legal, financial or tax advice. Always check your specific award, agreement or contract, or a qualified professional, before you rely on the result.

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Backpacker Tax Calculator (417 & 462 Visas)

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