Understanding the Medicare Levy

Learn about the 2% Medicare Levy in Australia, the low-income phase-in threshold, Medicare Levy Surcharge, and exemptions for the 2024-25 financial year.

Medicare Levy Basics

• Standard rate: 2% of your taxable income.
• Low-income threshold: Phase-in from $26,000 (singles) — reduced rate below this.
• Exemption: No levy below $24,276.
• Medicare Levy Surcharge (MLS): Additional 1%–1.5% if you earn over $93,000 and don't hold private hospital cover.