A casual job pays a 25% loading on every hour, but nothing for the days you don't work. Whether that's a good trade depends on how much time you'd take off and what security is worth to you.
Here's how to compare the two properly for 2026-27, with the minimum wage as a worked example.
What the casual loading replaces
| Entitlement | Permanent (full-time) | Casual |
|---|---|---|
| Annual leave | 4 weeks paid | Unpaid |
| Personal and carer's leave | 10 days paid | Unpaid |
| Public holidays | Paid if it's a normal workday | Unpaid unless you work |
| Notice and redundancy pay | Yes | No |
| Super | 12% | 12%, including the loading |
| Loading | None (17.5% on leave under many awards) | Usually 25% |
From 1 July 2026 the national minimum wage is A$26.44 an hour, so the minimum casual rate is A$33.05. Most awards set higher rates; the Fair Work Ombudsman's pay guides list them.
How the comparison works
Permanent pay = rate × hours a week × 52Casual pay = rate × (1 + loading) × hours a day × days actually workedDays worked = 260 − weeks off × 5 − public holidays − sick daysBoth people take the same time off. The permanent employee is paid for it; the casual isn't. Each is then taxed at 2026-27 resident rates.
Worked examples
Example: Minimum wage, 38 hours a week
Permanent: A$26.44 × 38 × 52 = A$52,245. Take-home after tax and Medicare: A$45,223.
Casual: A$33.05 an hour for 224 days (4 weeks off, 11 public holidays, 5 sick days) = A$56,264. Take-home: A$47,896.
Casual is A$2,673 a year ahead, and gets A$482 more super. The loading would have to fall to about 16% for the two to be equal.
Example: A$32 an hour, with more time off
With 4 weeks off, casual is A$3,256 a year ahead after tax.
With 6 weeks off, the lead falls to A$1,213. With 17.5% leave loading for the permanent job and 4 weeks off, it's A$2,690.
Casual comes out ahead on paper for most people, which is the point of the loading. What it can't show is the risk: casual hours can be cut with little notice, and a week without shifts wipes out a month of the extra pay.
To see take-home pay per fortnight for either job, use the take-home pay calculator.
How to use this calculator
- Enter the permanent hourly rate (before loading) and your hours a week.
- Check the casual loading, usually 25%.
- Enter how many weeks, public holidays and sick days a casual would miss without pay.
- Tick leave loading if the award pays 17.5% on annual leave.
FAQs
What is casual loading?
Extra pay, usually 25% of the base rate, that casuals get instead of paid leave, notice and redundancy pay. It's set by your award or the National Minimum Wage order.
What's the minimum casual rate from 1 July 2026?
A$33.05 an hour for adults not covered by an award: the A$26.44 national minimum wage plus 25% loading. Award rates are often higher.
Do casuals get super?
Yes. Employers pay 12% super on a casual's ordinary earnings, including the loading.
Can a casual become permanent?
Yes. A casual who has worked for at least 6 months (12 months at a small business) and believes they're no longer really casual can give their employer notice to change to permanent. The employer can refuse only on fair and reasonable grounds.
Sources
- Fair Work Ombudsman: Minimum wages fact sheet
- Fair Work Ombudsman: Minimum wage increase starts today (1 July 2026)
- ATO: Tax rates – Australian residents
Results are estimates for Australian residents and aren't tax or financial advice. For your own return, check with a registered tax agent. Spotted a mistake? Tell us.