Shock salary Aussies need to be earning to feel ‘comfortable’

•  Aussies need to earn $126,278 to feel comfortable

By STEPHEN JOHNSON, ECONOMICS REPORTER FOR DAILY MAIL AUSTRALIA

Published: 05:21 BST, 15 April 2025 | Updated: 23:05 BST, 15 April 2025

Australians need to earn a six-figure salary that’s 60 per cent higher than the average wage to feel comfortable due to rapid inflation, new figures show.

A single Aussie would need to earn $126,278 to meet their financial needs – a level that’s significantly higher than Australia’s average salary of $78,567, a survey commissioned by job search site Indeed found.

For couples, that rises to $164,403 before tax.

But almost a third of Australians feel they would need to earn more than $200,000 to feel financially comfortable, the YouGov survey of 1,041 workers revealed.

This would be almost double Australia’s average, full-time salary of $102,742. 

Indeed’s Asia-Pacific economist Callam Pickering said voters were primarily concerned about their wages failing to pay the bills, ahead of next month’s election.

‘Wages and cost of living are of key concern for Australians as they head to the polls,’ he said.

‘Regardless of the outcome of the election, these issues will remain at the forefront of the national conversation long after we’ve been to the polls.’

Australians need to earn a six-figure salary that’s more than 60 per cent higher than the average salary to feel comfortable during a cost-of-living crisis, new figures show

With unemployment still low at 4.1 per cent, employers now need to offer other perks on top of decent wages to attract or retain staff. 

‘The cost of living crisis has changed what workers expect from employers and policymakers,’ Mr Pickering said.

‘Higher wages are important, but so are policies that ease everyday expenses like transport and childcare.

‘Wages alone won’t fix financial stress. Workers want meaningful action to reduce cost pressures – whether that’s making education more affordable or ensuring access to workplace flexibility.’

Both sides of politics are offering different income tax policies intended to address the cost-of-living crisis.

The Coalition is offering a temporary $1,200 tax offset in 2025-26 and 2026-27 but it is blocking Labor’s $268 a week tax cuts due to come into effect in July 2026.

Opposition Leader Peter Dutton’s policy would be available for those earning up to $144,000 – with those earning $48,000 to $104,000 getting the full $1,200 offset when they lodge their tax return for 2025-26.

The Coalition is reviving the low and middle-income tax offset that was available when the Liberal and National parties were last in power in 2022. 

A single Aussie would need to earn $126,278 to meet their financial needs – a level that’s significantly higher than Australia’s average salary of $78,567, a survey commissioned by job search site Indeed found (pictured is a Sydney supermarket shopper)

Should Labor be re-elected, marginal tax rates would be lowered for part-time workers, which would flow through to higher-income workers.

From 1 July 2026, the 16 per cent tax rate for workers earning $18,201 to $45,000 will be reduced to 15 per cent – leading to annual tax relief of $268 or about $5 per week.

And from 1 July 2027, the tax rate will be reduced to 14 per cent – bringing relief of $536 over two years.

That means every Australian taxpayer earning above $45,000 will get an extra tax cut of $268 in 2026-27 and $536 from 2027-28.

This will cover those on the minimum, full-time wage of $47,627 and the average, full-time income earner on $102,742.

:
Shock salary Aussies need to be earning to feel ‘comfortable’

***
Read more at DailyMail.co.uk