🇺🇸 United States vs Australia 🇦🇺 — Take-Home Pay
A side-by-side look at how much of your salary you actually keep in each country.
🇺🇸 United States
= $60,000 per year
Estimated monthly take-home
$4,050
$48,597 per year · 19.0% goes to tax & contributions
| Item | Per year | Per month |
|---|---|---|
| Gross salary | $60,000 | $5,000 |
| Federal income tax | −$5,020 | −$418 |
| Social Security6.2% up to $184,500 | −$3,720 | −$310 |
| Medicare1.45% | −$870 | −$73 |
| California income tax | −$1,793 | −$149 |
| Take-home pay | $48,597 | $4,050 |
Estimate only — not tax advice. Figures are estimates based on publicly available tax rules and may not reflect your full circumstances. See our methodology & sources. Always confirm with an official tax authority or a licensed adviser before making decisions.
🇦🇺 Australia
= $95,000 per year
Estimated monthly take-home
$6,151
$73,812 per year · 22.3% goes to tax & contributions
| Item | Per year | Per month |
|---|---|---|
| Gross salary | $95,000 | $7,917 |
| Income tax | −$19,288 | −$1,607 |
| Medicare levy2% of taxable income | −$1,900 | −$158 |
| Take-home pay | $73,812 | $6,151 |
Estimate only — not tax advice. Figures are estimates based on publicly available tax rules and may not reflect your full circumstances. See our methodology & sources. Always confirm with an official tax authority or a licensed adviser before making decisions.
Effective tax at a glance
| Income level | United States | Australia |
|---|---|---|
| Low | $36,000 → 15% tax | $57,000 → 16% tax |
| Median | $60,000 → 19% tax | $95,000 → 22% tax |
| High | $120,000 → 28% tax | $190,000 → 29% tax |
Why US and Australia differ
United States keeps the advantage at every income level shown. At the median you keep 81.0% of gross the United States against 77.7% Australia — 3.3 points — widening to 2.7 points at three times the median.
The two systems get there differently. United States takes 11.4% of a median salary as income tax and 7.6% as social contributions; Australia splits its own median 22.3% to 0.0%. Comparing headline income-tax rates between US and Australia would therefore mislead you by roughly 7.6 points in whichever direction the contributions fall.
Neither United States nor Australia routes a mandatory savings component through payroll, so everything deducted in the table below is genuinely gone rather than being saved on your behalf — the comparison needs no adjustment before you read it.
Matched income levels, US against Australia
Converting USD into AUD would compare two different standards of living. Each row instead takes the same multiple of the United States median and the Australia median, then asks what share of each survives locally.
| Income level | United States | Australia | Keeps more |
|---|---|---|---|
| Entry level (0.6× median) | $36,000 → 15.2% | $57,000 → 15.8% | US |
| Median (1× median) | $60,000 → 19.0% | $95,000 → 22.3% | US |
| Well paid (1.5× median) | $90,000 → 24.6% | $142,500 → 25.9% | US |
| Senior (2× median) | $120,000 → 28.2% | $190,000 → 29.2% | US |
| High earner (3× median) | $180,000 → 32.4% | $285,000 → 35.1% | US |
What rent does to the comparison
Tax is the smaller of the two variables. On each country’s own median salary, these are the cities we hold rent data for and what a one-bedroom city-centre flat leaves behind — a spread that routinely dwarfs the 3.3-point tax gap between US and Australia.
| City | 1-bed city-centre rent | Share of take-home | Left after rent |
|---|---|---|---|
| Austin (US) | $1,700 | 42% | $2,350 |
| Chicago (US) | $2,100 | 52% | $1,950 |
| Seattle (US) | $2,300 | 57% | $1,750 |
| San Francisco (US) | $3,300 | 81% | $750 |
| New York City (US) | $3,800 | 94% | $250 |
| Brisbane (Australia) | $1,900 | 31% | $4,251 |
| Melbourne (Australia) | $2,200 | 36% | $3,951 |
| Sydney (Australia) | $2,900 | 47% | $3,251 |
Frequently Asked Questions
+Is take-home pay higher in United States or Australia?
At the median, United States: you keep 81.0% of gross the United States against 77.7% Australia. At three times the median the answer is United States, at 67.6% versus 64.9% — so the honest answer depends on what you earn.
+Why do United States and Australia tax differently?
United States relies on federal + state income tax and FICA and Australia on income tax and the Medicare levy. In practice US takes 11.4% of a median salary as income tax and 7.6% as contributions, while Australia splits its own median 22.3% to 0.0%.
+Should I move from United States to Australia for the money?
Tax alone is a real but partial reason: the gap at the median is 3.3 percentage points of gross. Rent typically moves further than that between two cities inside United States alone, so compare the US and Australia housing figures below, and the salary you would actually be offered, before treating the tax gap as decisive.
+Which is better for a high earner, US or Australia?
At three times the median — $180,000 the United States, $285,000 Australia — United States leaves more, keeping 67.6% against 64.9%. High earners are also where contribution ceilings bite, and United States and Australia set theirs at different points.
Estimate only — not tax advice. Figures are estimates based on publicly available tax rules and may not reflect your full circumstances. See our methodology & sources (last reviewed June 2026). Always confirm with an official tax authority or a licensed adviser before making decisions.