Compare two annual totals
First calculate the cash salary you expect without the bonus. Then add the taxable cash bonus to that same financial year’s salary and recalculate with the same personal settings. The difference in annual net income is the estimated amount you keep from the bonus.
Keep any employer super outside the cash bonus amount. This comparison does not determine whether the employer must pay super on a particular bonus.
The payslip can look different
Employers use ATO withholding methods for bonuses and similar payments. The amount withheld when a bonus is paid need not equal the change in final annual liability.
This page compares annual outcomes. It does not reproduce a payroll bonus withholding calculation or cover termination payments, back pay attributed to earlier years or share awards.
Look beyond the income tax row
A bonus can also change the offset, Medicare levy, surcharge or HELP repayment in a supported scenario. Compare the complete breakdown. Multiplying the whole bonus by one headline income tax rate can miss those effects.
Common questions
Does a bonus have one special annual tax rate?
For the ordinary taxable cash bonus modeled here, the calculator adds it to annual cash salary. Your annual result depends on the combined income and the included income tests. Payroll withholding is calculated separately.
Read the official guidance
- ATO: Withholding from bonuses and similar payments
- Australian resident income tax rates — legislation
For exact rule sections and effective dates, see the source register.