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  • Medicare levy adjustment monthly tax table

    For payments made on or after 1 July 2017 and before 30 June 2018

    Use the Medicare levy adjustment tool to quickly work out a Medicare levy adjustment (XLSX, 56KB)This link will download a file.

    Using this table



    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

    End of attention

    You should use this table if you make payments to your employee on a monthly basis and they are entitled to a Medicare levy adjustment.

    This table should be used with the Monthly tax table and the Medicare levy variation declaration.

    Get it done

    You can download a printable version of Medicare levy adjustment monthly tax table (PDF, 703KB)This link will download a file (NAT 1012) in Portable Document Format (PDF).

    When your employee is entitled to a Medicare levy adjustment

    Your employee is entitled to an adjustment if they meet all of the following requirements:

    • they have provided you with a Medicare levy variation declaration in which they:
      • claimed dependants
      • answered yes to question 10 in the declaration ‘Is the combined weekly income of you and your spouse, or your income as a sole parent, less than the relevant amount in table A on page 2?'.
    • they have monthly earnings of $1,802 or more, but less than the corresponding amount in column A of table 1– for example, an employee who claims two dependent children must have monthly earnings of less than $4,505 to be entitled to a Medicare levy adjustment.

    No Medicare levy is payable on monthly earnings of less than $1,802.

    If your employee claims more than 10 children, the column A amount is $7,302, plus $350 for each child claimed in excess of 10.

    Column B shows the values used in calculating adjustments for employees with more than five dependent children. If your employee claims more than 10 dependent children, the column B amount is $5,841.75 plus $279.67 for each child in excess of 10.

    Find out about:

    Table 1: Medicare levy adjustments

    Medicare levy adjustment monthly earnings limits


    Column A

    Column B

    Spouse only



    1 child



    2 children



    3 children



    4 children



    5 children



    6 children



    7 children



    8 children



    9 children



    10 children



    Working out the withholding amount

    To work out the amount you need to withhold, you must:

    1. Use the Monthly tax table to find the monthly amount to withhold from your employee’s earnings, allowing for any tax offsets claimed.
    2. Reduce this amount by the amount of the Medicare levy adjustment, worked out as detailed in Working out the Medicare levy adjustment.

    Where the adjustment equals or exceeds the amount obtained in step 1 the amount to be withheld is nil.

    Last modified: 14 Jun 2017QC 52088