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At $100,000, moving from five equal-length days to four retains 82.5% of take-home pay in our 2026-27 no-HELP, no-hospital-cover example. That costs $1,133 a month. With HELP, the monthly cash cost is $883.
The cash cost across nine salaries
The salary falls to 80% of its five-day amount. Tax and repayments are then recalculated on the lower salary. The table shows the change in spending money with no qualifying hospital cover. The HELP column assumes enough debt for the full compulsory repayment.
| Five-day salary | Four-day salary | Cost, no HELP | Cost, with HELP |
|---|---|---|---|
| $60,000 | $48,000 | $665 | $665 |
| $70,000 | $56,000 | $779 | $779 |
| $80,000 | $64,000 | $902 | $784 |
| $90,000 | $72,000 | $1,020 | $795 |
| $100,000 | $80,000 | $1,133 | $883 |
| $120,000 | $96,000 | $1,261 | $961 |
| $150,000 | $120,000 | $1,562 | $1,155 |
| $180,000 | $144,000 | $1,755 | $1,245 |
| $200,000 | $160,000 | $1,890 | $1,399 |
Why the cost can be lower with HELP
Reducing salary can reduce a compulsory study-loan repayment as well as income tax. That can leave a smaller immediate cash cost for the same reduction in gross pay. It does not make the loan disappear. A lower compulsory repayment generally leaves more debt outstanding than the full-time comparison.
People near a Medicare levy surcharge threshold may also move into a different surcharge position. That is why the downloadable results contain both hospital-cover cases. A person who keeps paying an insurance premium needs to allow for that premium in their own budget.
A four-day schedule needs a contract check
This model is for fewer paid hours with salary reduced in proportion. A compressed four-day week that keeps full-time hours and salary is a different arrangement. So is an employer-supported shorter week with no salary reduction. Confirm the working hours and salary before using a row.
The cost per extra day off in the dataset divides annual cash lost by 52. It spreads the change over the paid year, including paid leave. It is a planning measure, not the cost of every individual day physically spent away from work.
After checking the contract, add the costs that may change. One fewer commute or childcare day can reduce the household cost. Lost allowances or different overtime can raise it. Those changes are individual and are not invented for this study.
Method and limits
These results are Paycalcmate calculations from published tax rules. They measure modelled cash differences, rather than how much real households spend or save. The downloadable data contains all four scenarios, assumptions, source links and the calculator version fingerprint.
Every salary is cash pay with super paid on top. Each comparison uses a full-year resident, a single household with no dependants and no extra income or deductions beyond the eligible standard work deduction. HELP scenarios assume enough outstanding debt for the full repayment. Qualifying hospital cover is either held for the whole year or absent for the whole year.
The estimates include income tax, the ordinary Medicare levy, applicable surcharge and HELP. They exclude insurance premiums, childcare, government payments, commute costs and changes to overtime. The latest legislated low-income Medicare thresholds are used. A later uplift for 2026-27 may change results. Payroll withholding can also differ from annual liability.
Data and citation
Download every scenario, together with the assumptions, calculation date and official sources. These are modelled examples, with amounts in Australian dollars.
The CSV includes the data rows and a link to the JSON methods file. Keep the methods with any figures you reuse.
Paycalcmate, Four-Day Week Pay Index 2026-27, checked 2 October 2026. https://paycalcmate.au/four-day-week-pay-index/
Common questions
Are these results from a survey?
No. They are original Paycalcmate calculations using published Australian tax and repayment rules. The data explains the settings so each example can be reproduced.
Does four days always mean 80% salary?
This study assumes five equal-length days reduced to four, with salary in proportion. A compressed week or an agreement to keep salary unchanged needs a different comparison.
Sources you can check
Sources checked for this page on 2 October 2026. Statistics keep their own measurement dates.