Contractor day rate calculator: salary vs contract in Australia

For senior tech professionals weighing a permanent role against a contract, the two offers are easier to judge on the same basis. Turn a base salary plus super into an equivalent day rate, or a day rate back into a salary, with leave, public holidays and time between contracts factored in.

Compare a permanent base salary with a contractor day rate, with superannuation, leave and public holidays factored in.

The base figure on a permanent offer, before super is added.
Contractor type

Paid through a payroll company. Tax is withheld and super goes to your fund, either on top of the rate or carved out of it.

Assumptions (edit to suit)

Super defaults to 12%, the Superannuation Guarantee rate from 1 July 2025. Public holidays default to 10 (roughly NSW). Extra costs are a percentage added on top of the package the rate needs to cover.

Billable days: 220

Your result

Disclaimer: This calculator is a general guide only and provides indicative estimates. It is not financial, tax, legal or employment advice. Figures are before tax and do not account for leave loading, payroll tax, insurance, fees or your individual circumstances. Talent Divers accepts no responsibility or liability for any loss, error or decision arising from the use of this calculator or its results. Please seek independent professional advice before making any decision.

How to read the result

  • Super. A permanent salary usually has super paid on top. Check whether a contract rate is quoted plus super or inclusive of super, as this changes what the rate is worth.
  • Leave and days between contracts. Permanent employees are paid for annual leave, personal leave and public holidays. Contractors are usually paid only for the days they work, and there can be unpaid time between contracts. Adjust the assumptions to suit your situation.
  • Tax and insurance. Results are before tax. Contracting through your own ABN or company can add costs such as insurances, accounting and admin. Add these under extra costs, and get independent advice on tax.

FAQ

How do I compare a salary with a contract day rate?

Add super to the base salary to get the full package, then divide it by the days you expect to bill in a year. Contractors are usually not paid for leave, public holidays or gaps between contracts, so billable days are fewer than working days.

What is the difference between a rate plus super and a rate inclusive of super?

With a rate plus super, superannuation is paid on top of the day rate. With a rate inclusive of super, super comes out of the rate, so the same number is worth less. Confirm which applies before you compare offers.

Is the result financial or tax advice?

No. The calculator gives general, indicative estimates before tax. For advice on tax, super or how you contract, speak with a qualified accountant or financial adviser.