A rough estimate of what you will owe in income tax, Medicare levy and HELP repayment,
plus the GST to set aside, and how much of your income you keep.
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Enter your income to see the estimate.
Estimated for 2025-26
Set aside from your income$0
Estimated take-home$0
Estimate only, for Australian tax residents. Uses ATO rates for the year selected, including the
Small Business Income Tax Offset (16%, capped at $1,000). Excludes Medicare levy surcharge,
non-commercial loss rules and PSI rules. This is not tax advice. Check
ato.gov.au or your accountant.
A sole trader pays income tax at the individual resident rates on their net profit (income minus deductible expenses), plus the 2% Medicare levy, plus any HELP or HECS repayment, less the Small Business Income Tax Offset (16%, capped at $1,000). There is no separate company tax. Business profit is taxed as your personal income. If your business turnover is $75,000 or more you also register for and collect GST, which you pass on to the ATO each BAS.
A tax offset worth 16% of the tax on your net small business income, capped at $1,000 a year. This calculator applies it automatically. It scales down if part of your taxable income is salary or wages rather than business profit, and it phases out entirely once aggregated turnover reaches $5 million.
A common rule of thumb is 25% to 35% of every payment, but the right figure depends on your total income and deductions. The calculator works out a set-aside percentage for your numbers. If you are registered for GST, set aside the GST portion (roughly 1/11 of GST-inclusive income) on top of that.
Only if your GST turnover is $75,000 or more over 12 months, or you provide taxi or rideshare services. GST you charge customers is collected on the ATO's behalf and paid over each BAS. It does not reduce your income tax, and you can claim back the GST on your business purchases.
PAYG instalments are prepayments toward your next income tax bill, usually paid quarterly. The ATO automatically enters you into the system after a tax return where your instalment income is $4,000 or more, tax payable is $1,000 or more, and estimated tax is $500 or more. It doesn't change how much tax you owe overall, just when you pay it.
Yes. Expenses directly related to earning your business income are generally deductible, provided you keep a record of each one. Common deductions include home office costs, vehicle expenses, equipment, subscriptions, professional development, and accounting fees.
Every receipt lowers that set-aside figure
Instant Receipts scans your receipts as you go, sorts them into ATO categories, and keeps your GST and BAS figures ready to lodge.