How much should I put aside for tax? (Australian sole traders, 2026–27)
Type in what you expect to earn this financial year. The calculator gives a rough income-tax-plus-Medicare figure and the percentage of each invoice to move into a separate tax account. It's free and needs no sign-up. Everything runs in your browser, so nothing you type is sent anywhere.
Assumes Australian resident rates for 2026–27: 0% up to $18,200; 15% to $45,000; 30% to $135,000; 37% to $190,000; 45% above that. It adds the 2% Medicare levy and applies the low income tax offset. It leaves out HELP repayments, the Medicare levy surcharge, the low-income Medicare reduction, super contributions and other offsets. This is an estimate and not tax advice. Check the ATO's rates or ask a registered tax agent.
The simple system most new sole traders wish they'd started with
- Open a second account called "TAX – don't touch". Each time a client pays you, move the percentage shown above into it straight away.
- Expect PAYG instalments. After your first business tax return, the ATO may put you into quarterly PAYG instalments, which are prepayments of next year's tax. The set-aside account is what pays them.
- Watch the $75,000 GST line. You must register for GST within 21 days of expecting to pass $75,000 in GST turnover over a 12-month period. Once registered, 1/11 of every GST-inclusive sale belongs to the ATO, so set that aside as well. Our GST calculator works it out.
- Keep receipts for five years. A photo in a dated folder counts. Home-office and car costs need their own records. The ATO's fixed rate for working from home is 70c an hour, and the car method is 88c per business km for 2024–25 (check the current year's rate).
- Invoice properly. An invoice should have your ABN, the date, a description and the amount, and say whether GST is included. Chase late payers politely on a fixed schedule.
Free download: Australian budget planner (Lite)
This is a simple Excel/Google Sheets budget with AU categories. The download is free; Whop asks for an email to deliver it.
Paid templates and tools (our own products)
Disclosure: we made these and sell them, so we earn money if you buy. Prices are in USD because the store runs on Whop. They're all one-off purchases with no subscription.
| Product | What it does | Price |
|---|---|---|
| Tools Bundle (5 offline tools) | The five tools below in one download | US$24.99 |
| Sole Trader Toolkit 2026–27 | Hourly rate, tax set-aside and invoice tools in one file | US$12.99 |
| Markup & Margin Calculator | Sets prices from cost with GST handled | US$9.99 |
| Late Payment Chaser | Tracks unpaid invoices and writes the reminders | US$9.99 |
| WFH & Car Deduction Estimator | Compares the fixed-rate and actual-cost methods | US$7.99 |
| Fair Rent & Bills Splitter | Splits rent by room and checks a rent increase | US$5.99 |
| AU Small Business Starter Bundle | 5 spreadsheet templates (quotes, GST/BAS, ABN checklist and more) | US$24.99 |
| Home & Family Bundle | 4 household templates | US$19.99 |