Australia EOR cost guide
Australia EOR Cost: What You Pay Each Month
An Australia EOR budget includes gross salary, statutory employer costs and the provider’s service fee. In the illustrative Melbourne example below, A$120,000 annual salary plus 12% superannuation, workers’ compensation and payroll tax produces a monthly subtotal of A$11,944.80 before the EOR fee. NNRoad’s service fee is confirmed in a written quotation after we review the role.
The three parts of an Australia EOR bill
1. Salary
2. Statutory employer costs
3. The EOR service fee
NNRoad charges a monthly service fee for each employee. We quote it after reviewing the role, and the proposal shows it on its own line, separate from the employment cost.
Superannuation in 2026-27
| Rule | From 1 July 2026 |
|---|---|
| Super Guarantee rate | 12% of qualifying earnings |
| When it is paid | With every pay run (Payday Super). It must reach the fund within 7 business days of payday |
| New employees | First contribution within 20 business days of payday |
| Maximum contribution base | A$270,830 a year. Above this, super is not compulsory |
| Which fund | The employee’s chosen fund, or their stapled fund requested from the ATO |
Sources: ATO Super Guarantee, ATO payment deadlines, ATO maximum contribution base.
Three details that change the number
- Salary packages. Some offers are quoted “including super”. A$120,000 including super is a base salary of about A$107,143. Agree which one you mean before the offer goes out.
- Bonuses and commission. Super applies to most of them under the new qualifying earnings rules, and is paid with the pay run that includes them.
- Very high salaries. Above A$270,830 a year, compulsory super stops, so the percentage on top falls.
Other employer costs in Australia
| Cost | Required? | How much |
|---|---|---|
| Workers’ compensation insurance | Yes, in every state and territory | Set by industry and wages. 2026-27 averages: 1.8% in VIC, 1.343% in QLD, 1.931% in WA. Office roles are usually lower. Fair Work |
| Payroll tax | Where the employer’s Australian wages exceed the state threshold | NSW 5.45%, VIC 4.85%, QLD 4.75%, WA 5.5%, SA 4.95%, TAS 4% to 6.1%, ACT from 6.75%, NT 5.5%. Very large employers pay surcharges or higher tiers in some states |
| Annual leave loading | Only if the award or contract provides it | Commonly 17.5% of 4 weeks’ pay, paid when leave is taken |
| Long service leave | Yes, under state law | Accrues over time; usually taken after 7 to 10 years |
| Award allowances and overtime | If an award covers the role | Depends on the award and the hours worked |
| Benefits | No | Private health cover, extra super, phone or internet allowance, as you choose |
How NNRoad quotes
What your proposal shows
Every line, before you sign
Your proposal lists our monthly service fee and every employment cost separately, so you can see exactly what you pay before you sign.
- Employment contract, award check and information statements
- Payroll, payslips, PAYG withholding and STP reporting
- Superannuation paid under Payday Super
- Workers' compensation cover and labour hire licensing where required
- Year-end STP finalisation and final pay when the job ends
| What you pay | How it works |
|---|---|
| Monthly service fee | Quoted per employee after we review the role |
| Employment cost | Salary, employer contributions and any benefits you agree, passed through at cost |
| Government and third-party fees | Passed through at cost, if any apply |
| Invoicing | One invoice per payroll month, with a line-by-line breakdown |
Our service covers our EOR service for local employees in Australia, subject to employment eligibility and role review. Foreign employee hiring is handled through Hire Foreigner in Australia. The written proposal confirms the services and charges for your engagement.
Three worked examples
These estimates assume full-time employment, no award allowances, overtime or extra benefits, and an illustrative exchange rate of US$1 = A$1.44. The published average workers’ compensation rates are applied to salary plus compulsory super in Queensland and Victoria; Western Australia excludes compulsory super from its remuneration base. Actual premiums depend on the industry, employer and insurer. Payroll tax is illustrated at the stated rates without a threshold deduction; the employing entity’s full circumstances determine the amount payable. The EOR fee is additional.
| Brisbane, QLD | Melbourne, VIC | Perth, WA | |
|---|---|---|---|
| Annual salary | A$80,000 | A$120,000 | A$180,000 |
| Monthly gross salary | A$6,666.67 | A$10,000.00 | A$15,000.00 |
| Superannuation (12%) | A$800.00 | A$1,200.00 | A$1,800.00 |
| Workers’ compensation | A$100.28 1.343% (WorkCover QLD average) | A$201.60 1.8% (WorkSafe Victoria average) | A$289.65 1.931% (WorkCover WA recommended average) |
| Payroll tax, where it applies | A$354.67 4.75% of salary plus super | A$543.20 4.85% of salary plus super | A$924.00 5.5% of salary plus super |
| Total monthly employment cost | A$7,921.62 | A$11,944.80 | A$18,013.65 |
| In US dollars | US$5,501.13 | US$8,295.00 | US$12,509.48 |
The yearly view
| Item | Amount |
|---|---|
| Salary for 12 months | A$120,000.00 |
| Superannuation (12%) | A$14,400.00 |
| Workers’ compensation (1.8%) | A$2,419.20 |
| Payroll tax (4.85%) | A$6,518.40 |
| Annual leave loading, if the award provides it (17.5% of 4 weeks) | A$1,615.38 |
| Annual subtotal before EOR fee and additional on-costs on leave loading | A$144,952.98 |
The subtotal includes leave loading itself but excludes the additional payroll tax, workers’ compensation premium and any superannuation attributable to that loading. Add those amounts where applicable before treating this as a complete annual budget. Bonuses, additional benefits and any long-service-leave provision also require separate assessment.
EOR or your own Australian company?
Questions about Australia EOR cost
How much does an employer of record cost in Australia?
You pay NNRoad a monthly service fee for each employee, plus the employment cost (salary, employer contributions and any benefits you agree) at cost. We quote the fee after we have reviewed the role, and your proposal shows every line before you sign. See how employment costs add up.
What does “total employment cost” include?
Gross salary plus superannuation, workers’ compensation insurance, payroll tax where it applies, and any benefits or allowances paid through payroll. Expenses you reimburse are listed separately.
Is superannuation paid on top of the salary?
Yes, unless the offer is stated as a package “including super”. Super is 12% of qualifying earnings in 2026-27 and is paid with every pay run under Payday Super.
Does payroll tax apply to an EOR hire?
Often, yes. Payroll tax is charged by the states on employers whose Australian wages pass a threshold, and under the employment agency rules it is assessed on the employer that supplies the worker. Your quote shows whether it applies and at which state’s rate.
Which currency do we pay in?
Salaries are paid to the employee in Australian dollars. NNRoad’s fee is set in US dollars, and the invoice currency is agreed in your service agreement.