Medicare Levy Surcharge

The Medicare Levy Surcharge is paid by high income earners (that’s singles who earn over $101,000 and families that earn over $202,000 in the financial year) who don’t have private hospital cover.

The surcharge is between 1% and 1.5% (depending on your household income) and is paid on top of the 2% Medicare Levy paid by most Australian tax payers.

Work out the surcharge you’ll have to pay if you don’t have hospital cover

 

Step 1: Income Threshold
2025/26 Financial Year

Medicare Levy Surcharge
Base Tier

Single
$101,000 or less
Family*
$202,000 or less

 0%
Tier 1

Single
$101,001 - 118,000
Family*
$202,001 - 236,000

 1%
Tier 2

Single
$118,001 - 158,000
Family*
$236,001 - 316,000

 1.25%
Tier 3

Single
$158,001 or more
Family*
$316,001 or more

 1.5%

*If you're a family with children, the income threshold for each tier is increased by $1,500 for every child after your first.

Family includes couples and single parent families.