Calculates Australian income tax using the current resident income-tax brackets, the Medicare levy (which shades in at 10c per dollar above the low-income threshold before reaching the full 2%) and the Low Income Tax Offset (LITO). Returns gross-to-net breakdown: gross income, income tax, Medicare, LITO and net pay. Useful for brokers using net income (not gross) in serviceability conversations, or for anyone comparing job offers.
| Component | Amount |
|---|---|
| Gross Income | $90,000 |
| Income Tax (before offsets) | ($17,520) |
| LITO Applied | +$0 |
| Income Tax (net) | ($17,520) |
| Medicare Levy (2%) | ($1,800) |