• Weekly tax table

    Attention

    For payments made on or after 1 July 2014 to 30 June 2015

    End of attention

    Use the new Withholding look-up tool to quickly work out the amount to withholdThis link opens in a new window.

    End of work it out

     

    Using this table

    Attention

    Warning:

    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 any of the following payments on a weekly basis:

    • salary, wages, allowances and leave loading to employees
    • paid parental leave to an eligible worker
    • director’s fees
    • salary and allowances to office holders (including members of parliament, statutory office holders, defence force members and police officers)
    • payments to labour hire workers
    • payments to religious practitioners
    • government education or training payments
    • compensation, sickness or accident payments that are calculated at a periodical rate and made because a person is unable to work (unless the payment is made under an insurance policy to the policy owner).

    Also use this table for payments made to foreign residents.

    Other tax tables may apply if you made payments to shearers, workers in the horticultural industry, performing artists and those engaged on a daily or casual basis.

    Working out the withholding amount

    1. Calculate your employee's total weekly earnings -add any allowances and irregular payments that are to be included in this week’s pay to the normal weekly earnings, ignoring any cents.
    2. Input the amount from step 1 into the Withholding look-up tool, as per instructions in the tool.
    3. Use the appropriate column to find the correct amount to withhold. If your employee is
      • claiming the tax-free threshold, use column 2
      • not claiming the tax-free threshold, use column 3.
       
    4. If your employee has an end-of-year entitlement to a tax offset, use the Ready reckoner for tax offsets to convert the employee’s estimate of their full-year entitlement into a weekly offset value. Then subtract this value from the withholding amount found in step 3.
    5. If your employee is entitled to make an adjustment for the Medicare levy, subtract the value of the adjustment, determined from the Medicare levy adjustment weekly tax table (NAT 1010) from the amount found in step 4.
    6. If your employee has advised you of an accumulated Higher Education Loan Program (HELP) or Financial Supplement (FS) debt, add the amount determined from the HELP weekly tax table (NAT 2173) or SFSS weekly tax table (NAT 3306) to the amount you calculated in step 5.
    Attention

    Do not allow for any tax offsets or Medicare levy adjustment if any of the following apply:

    • you use column 3
    • you use foreign resident tax rates
    • employee has not provided you with their TFN.
    End of attention

    Example

    An employee has weekly earnings of $563.60.

    To work out the correct amount to withhold, ignore cents, input $563 into the Withholding look-up tool.

    If the employee is:

    • claiming the tax-free threshold, use column 2 to find the correct amount to withhold ($51).
    • not claiming the tax-free threshold, use column 3 to find the correct amount to withhold ($152).
    End of example

    When there are 53 pay periods in a financial year

    In some years, you may have 53 pay periods instead of the usual 52. As this table is based on 52 pays, the extra pay may result in insufficient amounts being withheld. You should let your employees know when this occurs so if they are concerned about a shortfall, they can ask you to withhold the additional amount in the table below.

    Weekly earnings
    $

    Additional withholding
    $

    725 to 1524

    3

    1,525 to 3,449

    4

    3,450 and over

    10

    Using a formula

    The withholding amounts shown in this table can be expressed in a mathematical form.

    If you have developed your own payroll software package, to refer to Statement of formulas for calculating amounts to be withheld (NAT 1004).

    Last modified: 30 Jun 2014QC 39408