ABN tax calculator
Contractor, tradie or sole trader? See how much of each payment to put aside for tax and GST.
| Business profit (excl. GST) | |
| Extra income tax & Medicare | |
| Small business tax offset | |
| Extra HELP repayment | |
| GST to pay the ATO | |
| Total to set aside (year) | |
| What's yours to keep (year) |
Estimate only. Assumes all income and expenses are taxable for GST, you're an Australian resident sole trader, and turnover is under $5 million. Tax on other income is assumed to be covered by your employer's withholding. Doesn't include voluntary super contributions.
How much tax should I put aside on ABN income?
No one withholds tax from ABN payments, so you pay it all at tax time, or through PAYG instalments once the ATO asks. Many sole traders put aside 25–30% of every payment. The exact figure depends on your profit, your other income and whether you charge GST, which is what this calculator works out.
Common questions
Do I need to register for GST?
Only once your turnover reaches $75,000 a year, or if you drive a taxi or rideshare. Below that it's optional. If you register, 1/11th of what you charge belongs to the ATO.
What is the small business income tax offset?
Sole traders with turnover under $5 million get an offset of 16% of the tax on their business profit, up to $1,000 a year. It's applied automatically when you lodge your tax return.
What are PAYG instalments?
After your first year with business income over a set amount, the ATO usually asks you to pay tax quarterly in advance. Setting money aside each week makes those bills painless.
Do I have to pay myself super?
No, super isn't compulsory for sole traders. Personal contributions may be tax-deductible, though, and can reduce the tax you pay.