Employer of Record in Australia: what one employee really costs
Australia, Oceania. One software engineer at $65,000 gross per year, priced through 9 providers on 2026-09-02 exchange rates. Change the salary and headcount below.
- Employer on-cost
- +18.0%
- statutory charges on top of gross
- All-in per month
- $6,588 – $7,088
- salary + charges + published fee, cheapest to dearest listed provider
Hiring one software engineer in Australia at $65,000 gross a year costs about $972 a month in statutory employer charges (+18.0%), plus an EOR fee of $199 to $699 per month depending on the provider: $6,588 to $7,088 all-in, before deposits, FX margins and add-ons. Prices checked 2 Sept 2026.
Disclosure Some provider links on this page are affiliate links: if you become a customer after clicking, the provider may pay us a referral fee. It never changes the price you pay, and it never changes the numbers on this page, which come from official sources and are dated. How we are paid
Cost engine · preset to Australia
Price your own hire, line by line.
≈ AUD 90,943 gross / year · AUD at ECB reference rate, 2 Sept 2026
| Per employee | Rate | Per month |
|---|---|---|
| Gross salary | $5,417 | |
| Superannuation guarantee | 12% | $650 |
| NSW payroll tax | 5.45% | $295 |
| Workers compensation insurance (icare NSW), office and IT classification | 0.50% | $27 |
| Employer on-cost | +18.0% | $972 |
| Cost of employment, before EOR fee | $6,389 |
$6,988/ month · 1 employee
- Fee / mo
- from $599
- Per year
- $83,856
- Fee share
- 8.6%
Checked 2 Sept 2026
Get a Deel quote$7,088/ month · 1 employee
- Fee / mo
- $699
- Per year
- $85,056
- Fee share
- 9.9%
Checked 2 Sept 2026
Get a Remote quote$6,888/ month · 1 employee
- Fee / mo
- from $499
- Per year
- $82,656
- Fee share
- 7.2%
Checked 2 Sept 2026
Get a Multiplier quoteEmployer charges from official sources; provider fees are list prices on the dates shown; deposits, FX margins and add-ons are not included. Not legal or tax advice. Methodology
9 providers, one scenario, all-in totals.
| Provider | EOR fee / employee / mo | All-in / mo, 1 hire | Deposit | Countries | Checked | Quote |
|---|---|---|---|---|---|---|
| RemoFirst EOR in 185+ countries from $199 per employee per month, no annual contract. | from $199 | $6,588 | Not stated on the pricing page | 185+ | 2 Sept 2026 | Get a quote from RemoFirst· $6,588/mo |
| Rivermate EOR in 180+ countries from $319 to $639 per employee per month. | from $319 | $6,708 | Not stated on the pricing page | 180+ | 2 Sept 2026 | Get a quote from Rivermate· $6,708/mo |
| Playroll EOR in 180+ countries from $399 per employee per month; deposit of one month's salary. | from $399 | $6,788 | Fully refundable security deposit equivalent to one month's salary when onboarding an employee (pricing page). | 180+ | 2 Sept 2026 | Get a quote from Playroll· $6,788/mo |
| Multiplier EOR from $459 (annual) or $499 (monthly) per employee, plus mandated add-ons. | from $499$459 billed annually | $6,888 | Not stated on the pricing page | 150+ | 2 Sept 2026 | Get a quote from Multiplier· $6,888/mo |
| Papaya Global EOR starting from $499 per employee per month, quote-based, 160+ countries. | from $499 | $6,888 | Not stated for EOR on the pricing page (the contractor block states 'No deposit required'). | 160+ | 2 Sept 2026 | Get a quote from Papaya Global· $6,888/mo |
| Deel EOR in 130+ countries, starting at $599 per employee per month. | from $599 | $6,988 | Not stated on the pricing page | 130+ | 2 Sept 2026 | Get a quote from Deel· $6,988/mo |
| Oyster EOR in 120+ countries at USD 699 per employee per month; refundable deposit. | $699 | $7,088 | Refundable deposit required for EOR team members 'to initiate the engagement and to ensure on-time payments' (pricing FAQ). | 120+ | 2 Sept 2026 | Get a quote from Oyster· $7,088/mo |
| Remote EOR in 90+ countries at $699 per employee per month, no deposit. | $699 | $7,088 | No deposit: 'We collect reserve payments in rare, high risk circumstances' (pricing FAQ). | 90+ | 2 Sept 2026 | Get a quote from Remote· $7,088/mo |
| Rippling EOR bundled with the Rippling platform; custom quote only. | Quote only | — | Not stated on the pricing page | — | 2 Sept 2026 | Get a quote from Rippling |
Same salary and statutory charges in every row; only the fee segment changes.
What Australia adds on top of the salary, and where each rate comes from.
Rates apply to the base named in each line; capped lines stop growing above the ceiling. Engine assumptions: Employee works in New South Wales (payroll tax 5.45%, icare workers compensation) = 1; Workers compensation at 0.5% of wages (office and IT work; provider-published range 0.14% to 1%) = 0.5.
| Line | Employer rate | Base & ceiling | Source |
|---|---|---|---|
| Superannuation guaranteeAll employees; 12% of ordinary time earnings up to the maximum contribution base of AUD 270,830 for 2026-27 | 12% | Gross salary , capped at AUD 270,830 / yr The guarantee reached its legislated 12% on 1 July 2025 and stays there. Since 1 July 2026 (Payday Super) it is paid with each pay run, and the maximum contribution base is an annual figure of AUD 270,830, so the employer's super stops growing at about AUD 32,500 a year. | ATO2026-09-05 |
| NSW payroll taxEmployers, or groups of employers, whose Australian wages exceed the AUD 1,200,000 NSW threshold; superannuation and most allowances count as taxable wages | 5.45% | Gross salary 5.45% for 1 July 2026 to 30 June 2027, unchanged since 2022. The AUD 1.2 million tax-free threshold is a single deduction shared by the whole group, so for a provider's Australian entity it is worth a few dollars per employee; the engine applies the full rate. The tax also applies to the super contribution itself, which the engine leaves out (about 0.65 points). | Revenue NSW2026-09-05 |
| Workers compensation insurance (icare NSW), office and IT classificationEvery NSW employer; premium = wages x industry classification rate, adjusted for claims experience above the small-employer threshold | 0.50% | Gross salary secondary source: Deel's Australia hiring guide quotes workers cover at 0.14% to 1% of salary; modelled at 0.5%. icare confirmed that 2025-26 classification rates carry into 2026-27 under the legislated premium freeze, but publishes the per-classification table only inside its policy portal. | Deel2026-09-05 |
| Redundancy pay (NES scale, 4 to 16 weeks) not in total | — | Contingent, not recurring: under the National Employment Standards an employee made redundant after at least one year of service receives 4 weeks' pay, rising with service to 16 weeks after 9 years (12 weeks from 10 years). Small businesses with fewer than 15 employees are exempt, but a provider's entity is not. | Fair Work Ombudsman2026-09-05 |
| Employer on-cost at $65,000 | +18.0% | $11,668 a year, $972 a month |
EOR or your own entity
Fees scale with headcount. An entity does not.
An Australian proprietary company registers with ASIC in a day, but employing means an ABN, PAYG withholding registration, a superannuation clearing house or Payday Super setup, a workers compensation policy in each state where staff sit, and payroll tax registration in any state where grouped wages pass the threshold. A small subsidiary with under AUD 1.2 million of NSW wages pays no payroll tax at all, which is the biggest cost difference against an EOR quote. Below roughly 8 to 10 hires the provider route is faster and keeps the multi-state compliance on their side; above that, the payroll-tax saving alone can fund the entity.
Fees grow with every hire; the charges line is owed under an entity too.
| Headcount | RemoFirst fees / yr | Papaya Global fees / yr | Statutory charges / yr |
|---|---|---|---|
| 1 | $2,388 | $5,988 | $11,668 |
| 3 | $7,164 | $17,964 | $35,003 |
| 5 | $11,940 | $29,940 | $58,338 |
| 10 | $23,880 | $59,880 | $116,675 |
| 20 | $47,760 | $119,760 | $233,350 |
Statutory charges are owed either way; the provider fee is the only line an entity removes, against the cost of incorporating and running local payroll.
Employment terms that move the cost
- Paid leave
- 20 days
- Public holidays
- 13
- 13th month
- Not mandatory
- Probation
- up to 6 months
- Notice
- Under the National Employment Standards the employer gives 1 week's notice in the first year, 2 weeks after 1 year, 3 weeks after 3 years and 4 weeks after 5 years, plus 1 extra week for employees over 45 with at least 2 years' service; unfair-dismissal claims open after 6 months of service (12 months at employers with fewer than 15 staff).
- Reviewed
- 2026-09-05
Get a quote for Australia from the providers that publish a price.
Totals for 1 hire at $65,000. Ask each provider about deposits, FX margins and mandatory add-ons for Australia: those are the lines that move.
Disclosure Some provider links are affiliate links; they never change the numbers on this page. Details
Questions people ask before booking a demo
- How much do statutory employer contributions add to a salary in Australia?
- About 18% in New South Wales: superannuation 12%, NSW payroll tax 5.45% and workers compensation of roughly half a percent for office work. At this page's example of US$65,000, about AUD 91,000, that is close to AUD 16,300 a year before the provider's fee. The super line stops growing at the AUD 270,830 maximum contribution base; payroll tax and workers compensation do not.
- Why does an EOR pay payroll tax when a small Australian company would not?
- Payroll tax is charged by each state on wages above a threshold, AUD 1.2 million a year in New South Wales, and connected companies are grouped for the test. A provider's Australian entity is far above the line, so every hire carries the full 5.45% in NSW, 4.85% to 6.85% elsewhere. A start-up employing directly with a payroll under the threshold pays nothing, which is the main reason an entity becomes cheaper once a team reaches eight to ten people.
- Is superannuation paid on top of the salary?
- Yes, unless the offer letter says the package is 'inclusive of super'. The 12% guarantee is calculated on ordinary time earnings and paid into the employee's fund with each pay run since 1 July 2026, on earnings up to AUD 270,830 a year. Providers quote Australian salaries as a base plus super, and this engine does the same: enter the base salary and the 12% is added.
- What paid time off does an Australian employee get and what does it cost?
- Four weeks of annual leave, 10 days of paid personal (sick and carer's) leave that accumulates year to year, and 13 public holidays in New South Wales in 2026. Many awards add 17.5% leave loading on annual leave, which the engine does not include. All of it is paid time inside the annual salary rather than an extra contribution, but unused annual leave is paid out on termination.
- What does it cost to end an employment relationship in Australia?
- Notice of 1 to 4 weeks depending on service (plus a week for employees over 45 with two years' service), any accrued annual leave paid out, and, for redundancies, the NES scale of 4 to 16 weeks' pay after at least one year of service. After six months an employee can also bring an unfair-dismissal claim, so providers expect a documented process. Budget a month of pay for a first-year exit and two to five months for a longer-serving redundancy.