SA Payroll Tax Calculator 2025-26 (Reduced Rate)

What this calculator works out

This calculator estimates a South Australian employer's annual payroll tax liability for FY 2025-26, including:

• The $1,500,000 tax-free threshold on Australia-wide group taxable wages.
• The reduced 2.47%-to-4.95% blended rate between $1.5M and $1.7M of wages.
• The flat 4.95% top rate above $1.7M, applied to wages minus the $600,000 deduction.
• The treatment of group employers (only the designated group employer claims the threshold).
• An optional SA-only wage share to apportion the result for employers with wages spread across states.

Numbers come from RevenueSA's payroll tax overview and rates and thresholds pages. This is a general estimate, not a substitute for RevenueSA Online lodgement or professional advice.

The formula and where the rates come from

SA payroll tax for FY 2025-26 uses these settings:

• Annual threshold: $1,500,000 of Australia-wide group taxable wages.
• Reduced-rate band: $1,500,001 to $1,700,000 — RevenueSA blends a 2.47% rate and a 4.95% rate so that the effective rate on the slice above $1.5M scales from 2.47% (at the bottom of the band) up to 4.95% (at the top).
• Top rate: 4.95% on wages above the $600,000 deduction (i.e. once total wages exceed $1.7M).

Worked formula:

if wages <= 1_500_000              → tax = 0
if 1_500_000 < wages <= 1_700_000  → ratio   = (wages − 1_500_000) / 200_000
                                     rate    = 2.47% × (1 − ratio) + 4.95% × ratio
                                     tax     = (wages − 1_500_000) × rate
if wages > 1_700_000               → tax     = 4.95% × (wages − 600_000)

Group rule: A payroll-tax group must lodge through a designated group employer (DGE). Only the DGE claims the threshold and deduction; other group members pay 4.95% on every dollar of their SA taxable wages.

Taxable wages include salary, wages, allowances, fringe benefits (grossed up at the FBT rate), termination payments (other than tax-free components), employer super contributions including SG, and certain contractor payments. Specific exemptions apply for parental leave, workers compensation, and some apprentice / trainee wages — see RevenueSA Guide to Legislation.

How to read the inputs

• Australia-wide group annual wages — total taxable wages across the whole group, every state. The threshold and rate band are determined here.
• SA share of wages — 1.0 if all wages are paid in SA, lower if you have NSW/VIC/QLD payrolls. The calculator computes the SA-applicable tax then apportions for display.
• Single employer or DGE — uncheck for non-DGE group members so the deduction is removed.

Worked examples

1. Single SA employer with $1,400,000 of annual wages. Below the $1.5M threshold → tax $0.

2. Single SA employer with $1,600,000 of wages. Reduced-rate band. Excess = $100,000, ratio = 0.5. Blended rate = 2.47% × 0.5 + 4.95% × 0.5 = 3.71%. Tax = $100,000 × 3.71% = $3,710. Effective rate ≈ 0.23%.

3. Single SA employer with $1,700,000 of wages. End of reduced band. Switches to the top-rate formula: tax = 4.95% × ($1,700,000 − $600,000) = 4.95% × $1,100,000 = $54,450. Effective rate ≈ 3.20%.

4. Single SA employer with $3,000,000 of wages. Top-rate formula. Tax = 4.95% × ($3,000,000 − $600,000) = 4.95% × $2,400,000 = $118,800. Effective rate ≈ 3.96%.

5. National employer with $3,000,000 group wages but only 50% paid in SA. The threshold and deduction still use the full $3M group figure (tax on the full Australia-wide footing = $118,800). Apportioned to the SA half = $59,400. The other states' portions are taxed under their own state regimes.

6. Group of three companies totalling $2,500,000, with non-DGE members. The DGE claims the deduction against the $2.5M group total (tax = 4.95% × ($2.5M − $600,000) = $94,050). Non-DGE members do not separately claim the deduction — it is consolidated at the DGE level.

Common pitfalls

• Forgetting the Australia-wide test. A SA-only payroll of $1.4M looks below threshold, but if the corporate group also has interstate wages of $200,000, the group is over $1.5M and starts paying SA payroll tax on its SA portion.
• Letting non-DGE members claim the deduction. Only the DGE claims it. Non-DGE members are taxed at 4.95% on every SA dollar.
• Missing the reduced-rate band. Many calculators apply 4.95% as soon as wages cross $1.5M. RevenueSA actually blends 2.47% and 4.95% across the $200,000 transition band to smooth the cliff effect.
• Missing fringe benefit gross-ups. The grossed-up Type 2 fringe benefits value (FBT base × 1/(1 − FBT rate)) is included in taxable wages, not the cash cost.
• Forgetting employer super. Super Guarantee and salary-sacrificed super are wages for payroll-tax purposes — about 11.5% of cash wages baseline (rising to 12% from FY 2026-27).
• Treating contractors as out of scope. Some contractor arrangements are deemed wages under the Payroll Tax Act 2009 (SA). The 90-day, $200/day and ancillary tests need to be checked individually.
• Late lodgement penalties. Monthly returns are due by the 7th of the following month. RevenueSA charges penalty tax and interest on overdue amounts.

Related calculators

• Payroll Tax Calculator NSW — equivalent calculation for the NSW threshold and rate.
• Payroll Tax Calculator VIC — VIC SRO settings and metro/regional rates.
• Payroll Tax Calculator QLD — QRO threshold, mental-health levy and progressive rates.
• Payroll Tax Calculator WA — RevenueWA $1m threshold and tapering deduction.
• Salary Sacrifice Super Calculator — sacrificed super counts as wages for payroll tax.

Sources:

• RevenueSA — Payroll tax
• RevenueSA — Payroll tax rates and thresholds
• RevenueSA — Grouping of employers
• RevenueSA — Guide to Legislation: Payroll Tax
• Payroll Tax Act 2009 (SA)