The world's highest minimum wage: how much does a student actually earn working in Australia

From 1 July 2026, the Fair Work Commission set Australia's national minimum wage at AUD 26.44 per hour, the highest among OECD countries. For those arriving on a student visa, this changes the financial picture of the exchange programme in concrete terms: 48 hours of work per fortnight generate an income that few destinations can match.

The figure is impressive, but what a student actually takes home each month depends on three variables: the minimum wage for the period, the work-hour limit set by the visa, and the applicable tax rate. This article addresses each one using official data.

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Why Australia leads the minimum wage rankings

Australia's minimum wage is reviewed annually by the Fair Work Commission, an independent federal body that analyses economic indicators before setting the new rate. The 2026 review resulted in a 6% increase over AUD 24.95 per hour, raising the floor to AUD 26.44 per hour or AUD 1,004.90 per week.

Among OECD countries, no other nation reaches this benchmark for the legal floor for adult workers.

• Annual adjustment mechanism: the floor is adjusted every 1 July, preventing any loss of purchasing power over time.
• No reduced-experience period: the minimum wage applies from the very first formal job, regardless of role or sector.
• Universal coverage: Australian labour law prohibits wages below the national minimum for adult workers, including international students.

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How many hours can a student work in Australia

The Subclass 500 student visa governs work during the exchange programme. The key condition is 8105, which sets out two distinct scenarios:

• During term time: maximum of 48 hours per fortnight (14 days), combining all income sources.
• Outside term time: no hour limit, which represents a key window to maximise income during holidays and breaks between modules.

The 48-hour limit applies to the total hours across all jobs combined, not per employer. Students working in two places at once must track their fortnightly total.

The full conditions of the Subclass 500, including rules for dependants and situations where the limit is suspended, are set out in the student visa for Australia in 2026.

• Proposed 60-hour limit: under discussion to raise the limit from July 2026, but not yet approved by legislation. The cap remains at 48 hours per fortnight until a new decision is made.

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What a student actually earns per month

At the minimum wage of AUD 26.44 per hour and the cap of 48 hours per fortnight, the gross calculation is AUD 1,269.12 per fortnight. In a month with two full fortnights, gross income reaches AUD 2,538.24.

The net amount depends on the student's tax residency status. There are two main profiles:

• Non-tax resident: flat rate of 32.5% on the first AUD 135,000 per year. Monthly deduction of approximately AUD 824 on AUD 2,538, resulting in a net income of around AUD 1,714 per month.
• Tax resident (more than 6 continuous months): access to the standard progressive tax scale, with exemption on the first AUD 18,200 per year. Lower effective tax burden.

O Tax Return in Australia is the annual refund mechanism for those who had more tax withheld than their actual effective rate. It is worth organising tax documentation from the outset.

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Which sectors hire the most international students

The Australian labour market has sectors that concentrate most of the vacancies for international students, with flexible schedules and short-hours contracts.

• Hospitality and food service: cafés, restaurants and hotels absorb large numbers of students. High turnover makes access easy even without prior local experience.
• Retail: shopping centres and supermarkets hire with flexible schedules. Larger chains have structured recruitment processes accessible to those without an established local network.
• Care and health: professionals with aged care or disability support certification are in high demand, especially in regional areas, and can earn above the minimum wage.
• Agriculture and horticulture: intensive shifts during harvest season, with the potential to maximise income during the unlimited-hours windows.

Health, construction and hospitality lead the Australian job market in 2026, with particularly high demand for those who plan to specialise throughout the exchange programme.

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Finding work during the exchange: what actually works

Having the right visa is the starting point. The next step is finding the vacancy, and the Australian market has its own logic for this.

• One-page résumé: the Australian format rejects lengthy documents. The emphasis is on recent experience, availability and references.
• In-person drop-off: many vacancies in hospitality and retail do not require formal experience, but value direct contact with the on-site manager.
• Tax File Number (TFN): document issued by the Australian Taxation Office that allows wages to be paid with the correct tax deduction. It should be applied for as soon as the student has a fixed address in Australia.

No job market during the exchange programme in Australia, cultural differences in the recruitment process and the TFN onboarding flow have a direct impact on how quickly students find work.

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Does the minimum wage cover the cost of living?

With gross monthly income above AUD 2,500, Australia looks comfortable on paper. However, the cost of living is one of the highest among exchange destinations.

Typical monthly expense estimates, according to Numbeo:

• Accommodation (shared room): AUD 350 to AUD 550 per week in Sydney/Melbourne; AUD 250 to AUD 400 per week in Adelaide, Perth or Brisbane.
• Food: AUD 300 to AUD 500 per month for those who cook at home.
• Transport: AUD 150 to AUD 250 per month using public transport.
• OSHC (student health insurance): mandatory for Subclass 500 holders, cost varies by insurer.

With a net income of AUD 1,714 per month and rent of AUD 400 per week, the budget is tight in major capital cities.

• Regional cities: lower housing costs, unlimited work hours during holidays, and bonus points in the immigration system for those who stay in regional areas.
• Capitals (Sydney/Melbourne): more accessible wages in hospitality, but the cost of living eats up a larger margin.

The choice between a capital city and a regional city directly impacts financial breathing room: studying and working in Australia on the minimum wage varies considerably depending on where the student settles.

Visa, course, work and housing are integrated in the guide to studying and working in Australia in 2026, with up-to-date information for planning.

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Where the project begins

O study and work programme in Australia provides support from choosing the city to the first steps in the job market.

A international career in Australia starts with solid planning and specialist support at every stage.

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Frequently asked questions about the minimum wage in Australia

What is the minimum wage in Australia in 2026?
The Fair Work Commission set the national minimum wage at AUD 26.44 per hour or AUD 1,004.90 per week from 1 July 2026, a 6% increase over the AUD 24.95 per hour rate in effect since July 2025. The rate applies to all adult workers, including international students with a visa that authorises work.

How many hours per week can a student with a Subclass 500 visa work?
The limit is 48 hours per fortnight during term time, which corresponds to an average of 24 hours per week. Outside term time, the limit is lifted and the student may work without hour restrictions, in accordance with Subclass 500 conditions set by Australian Home Affairs.

Is the Australian minimum wage really the highest in the world?
Among OECD countries, Australia records the highest legal minimum wage for adult workers, at AUD 26.44 per hour from July 2026, according to the Fair Work Commission. The annual review keeps the floor above most competing exchange destinations, including the United Kingdom, Canada, New Zealand and eurozone countries.

Does an international student pay the same tax as an Australian resident?
No. International students classified as non-tax residents pay a flat rate of 32.5% on taxable income, without access to the AUD 18,200 exemption threshold that applies to residents. Those who stay more than six months and meet tax residency criteria may be taxed under the standard progressive scale, with a lower total burden.

Can a student have more than one job in Australia on a student visa?** Yes, but the hours of all jobs are added together in the 48-hour fortnightly count. Two jobs of 12 hours each per week result in 48 hours in the fortnight and are within the limit. Exceeding that total breaches condition 8105 of the visa and may result in cancellation of the Subclass 500.

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Be Easy: boutique exchange consultancy

Be Easy supports international students who want to build a real career path in Australia, combining academic qualifications with professional experience in the highest-paid job market among exchange destinations. If you want to understand how to structure this project, with support from course selection to opening a bank account and receiving your first pay cheque, speak with a dedicated senior consultant who knows the Australian market inside out. Explore our curated programmes and get in touch with us.