Penalty rates in Australia explained
Updated 2026-10-24
Penalty rates are higher hourly rates for working weekends, public holidays, late nights or overtime. Your modern award or enterprise agreement sets them as a percentage of your base rate.
Typical rates under two common awards
Full-time and part-time employees, as a percentage of the ordinary rate. Always check the current award, because clauses vary by award and are reviewed regularly.
| General Retail (MA000004) | Hospitality General (MA000009) | |
|---|---|---|
| Saturday | 125% | 125% |
| Sunday | 150% | 150% |
| Public holiday | 225% | 225% |
| Overtime | 150% first 3 hrs, then 200% | 150% first 2 hrs, then 200% |
Worked example
Weekdays 22.8 h × $28.00 = $638.40
Saturday 7.6 h × $35.00 = $266.00
Sunday 7.6 h × $42.00 = $319.20
Total before tax: $1,223.60 (38 hours, so no overtime)
Run your own numbers in the shift pay calculator.
When overtime kicks in
Typically for hours beyond 38 per week (full-time), beyond your agreed hours (part-time), or beyond the daily maximum in your award. Some awards average hours over a roster cycle.
Checking your payslip
- Record start, finish and unpaid breaks for every shift.
- Split the hours by day type (weekday, Saturday, Sunday, public holiday, evening).
- Multiply each block by the right rate and add them up.
- Compare with your payslip. Employers must show the hours and rates paid.
General information only, not legal advice. For your exact entitlements contact the Fair Work Ombudsman (13 13 94).
Frequently asked questions
Do casuals get penalty rates?
Usually yes. Under most awards casuals get both the 25% casual loading and weekend or public holiday penalties. Some awards set a single combined casual weekend rate instead of stacking the two. Check your award.
Are penalty rates paid on top of overtime?
Generally no. When an hour is overtime you're paid the overtime rate (or the higher rate if your award says so), not both stacked.
Where can I find my award?
Use Fair Work's Find my award tool, or the Pay Calculator (PACT) at calculate.fairwork.gov.au. They show the current rates for your classification.