From 1 July 2026, about 2.8 million Australians on award and minimum wages will receive a 4.75% pay increase. The lowest-paid workers—approximately 100,000 people on minimum pay and entry-level rates—will get a 5.97% boost. The national minimum wage rises to $26.44 per hour, or $1,004.90 per week before tax. These changes apply from the first full pay cycle in July.
Payday Super Begins
Superannuation must now be paid at the same time as wages, rather than quarterly. The payday super reform aims to crack down on the more than $3 billion of super that goes unpaid each year. Contributions must reach funds within seven business days of payday, making it easier for workers to track their retirement savings.
Paid Parental Leave Expanded
Government-funded paid parental leave (PPL) increases from 24 to 26 weeks, providing a full six months of leave at the national minimum wage. Days reserved for partners also rise from 15 to 20.
Tax Cuts
The lowest marginal tax rate drops from 16% to 15% for income between $18,201 and $45,000. A person earning $45,000 or more will save $268 annually. Pending legislation, a proposed $1,000 instant work-expense deduction will benefit 6.2 million workers, according to the government.
Anti-Price-Gouging Measures
New laws targeting price gouging will be enforced by the ACCC. Supermarkets with revenue exceeding $30 billion—currently only Coles and Woolworths—are prohibited from charging excessive prices compared to the cost of supply plus a reasonable margin. Breaches face financial penalties.
SMS Sender ID Changes
Businesses that send branded text messages must register their sender ID. From July, messages from unregistered senders will be labelled “unverified” on phones, with all unverified messages grouped in one thread. This is designed to protect against scams by making it harder for fraudsters to impersonate legitimate organisations.
Anti-Money Laundering Laws Expanded
Anti-money laundering and counter-terrorism laws now apply to real estate, law, accounting, conveyancing, and jewellery sectors. These businesses must register with Austrac, verify customer IDs, and report particular transactions.
NDIS Changes
Providers in support roles—including supported independent living and NDIS digital platform providers—must register with the NDIS quality and safeguards commission.
Centrelink Indexation
Centrelink payments will see a small increase due to regular indexation, though advocates say the high cost of living far outpaces the extra money.
Medicare Levy Surcharge Thresholds Increase
The base income thresholds for the Medicare Levy Surcharge rise by $4,000 to $105,000 for singles and by $8,000 to $210,000 for families. The surcharge applies if you earn over the threshold and don’t have private hospital cover.
Other Notable Changes
- Instant asset write-off: Small businesses with annual turnover under $10 million can write off assets under $20,000 permanently.
- Country of origin seafood labelling: Businesses serving seafood for immediate consumption must label it as Australian ('A'), Imported ('I') or Mixed origin ('M').
- Child safety reforms (Queensland): The Reportable Conduct Scheme starts, requiring organisations caring for children to follow new reporting protocols.
- Energy consumption labelling for light vehicles: Updated labelling is mandatory for new light vehicle models supplied from 1 July 2026.
- No more double rental bonds (Victoria): The portable rental bond scheme allows renters to move their existing bond to a new property.
- 10 cent refund for wine and spirit bottles (WA): The Containers for Change program expands to include wine and spirit bottles, cask wine, flavoured milk, cordial, and concentrated fruit and vegetable juices.
- Fuel support payments (WA): WA driver's licence holders can apply for a one-off $100 payment through the ServiceWA app.
- Food waste mandates (NSW): Large premises must implement food organics and garden organics waste services; smaller businesses follow by 2030.
- New L and P-plate motorcyclist rules (NSW): Learners and provisional riders must wear protective gloves; learners must wear an approved hi-vis vest or jacket.
- Stamp duty axed for first homebuyers (ACT): First home buyers no longer pay conveyance duty; expanded exemptions for pensioners and eligible NDIS participants.
- Default electricity prices reduced (Victoria): Victoria's default offer reduces by $84 for households and $241 for small businesses.
- New e-rider laws (Queensland): Speed limits capped at 12km/h on footpaths and 60km/h on roads; parents can be fined for under 16s riding illegally.
- Solar sharer offer (NSW, Queensland, SA): Households with smart meters can access at least three hours of free electricity daily through an opt-in program.
