Pay Rise Letter Template Australia
Write a pay rise letter in a minute: a request to your manager, or a confirmation to an employee. Enter the current and new pay and the builder shows what the rise is worth. For example, 5% on $80,000 is $4,000 a year, or about $153.85 a fortnight before tax.
Pay rise letter builder
Choose who's writing, fill in the blanks, and your letter updates as you type. Anything you leave out shows in [brackets] so you can add it later.
Pay rise letter templates to copy
Prefer to write it yourself? Copy one of these and replace the parts in [brackets]. The first three are for employees asking for a pay rise. The last two are for employers confirming one.
Pay rise request letter template
The standard request. It states your current pay, the pay you're asking for and your reasons, then asks for a meeting.
Formal salary increase request letter
For larger organisations, or when the request will go to HR as well as your manager.
Short pay rise request email
A brief email to open the conversation. Put the subject line in the email's subject field.
Pay rise letter to an employee
For employers. It confirms the old pay, the new pay and the date it starts.
Formal salary increase letter to an employee
For employers who want a signed record. It includes a line for the employee to sign and date.
What a pay rise is worth
Percentages are easier to judge as dollars. This table shows the yearly increase, with the amount per fortnight in brackets. All figures are before tax.
| Salary | 3% rise | 5% rise | 10% rise |
|---|---|---|---|
| $60,000 | $1,800 ($69.23) | $3,000 ($115.38) | $6,000 ($230.77) |
| $80,000 | $2,400 ($92.31) | $4,000 ($153.85) | $8,000 ($307.69) |
| $100,000 | $3,000 ($115.38) | $5,000 ($192.31) | $10,000 ($384.62) |
| $120,000 | $3,600 ($138.46) | $6,000 ($230.77) | $12,000 ($461.54) |
| $150,000 | $4,500 ($173.08) | $7,500 ($288.46) | $15,000 ($576.92) |
A fortnight is the yearly amount divided by 26. Extra pay is taxed at your marginal rate, so the take-home increase is smaller. Check yours with the pay calculator.
How to ask for a pay rise
- Check your minimum first. Look up the rate for your classification in your award or enterprise agreement, or use the minimum wage calculator. If you're below it, that's an underpayment to fix, not a favour to ask for.
- Find out what the job pays. Look at current job ads for similar roles. You're also allowed to ask colleagues what they earn (see your rights below).
- List what has changed since your pay was last set: new responsibilities, results you can point to, and skills or training you've added.
- Choose a number and work out what it means in dollars, so you know what you're asking for.
- Ask for a meeting, then follow up in writing. A letter or email gives you a record of what you asked for and when.
Your rights around pay
- You must be paid at least the minimum. For most employees that's the rate in their award or enterprise agreement. If neither covers you, the National Minimum Wage applies: $26.44 an hour, or $1,004.90 a week, from 1 July 2026.
- Minimum and award wages are reviewed every year. The Fair Work Commission's Annual Wage Review usually takes effect from the first full pay period on or after 1 July. If you're on the minimum rate, your pay has to rise to at least the new minimum.
- Above the minimum, a pay rise is by agreement between you and your employer.
- You can talk about pay. Employees have a workplace right to share what they're paid and to ask other employees about their pay. A colleague can choose not to answer, and an employer can't take adverse action against you for using this right.
The right to share pay information may not apply if your contract was signed before 7 December 2022, includes a pay secrecy term and hasn't been changed since.
For employers: confirming a pay rise in writing
A short letter or email gives you and your employee the same record of what was agreed. It should state:
- the employee's name and the date of the letter
- the current pay and the new pay
- the date the new pay starts
- whether anything else about their employment changes, such as their job title or hours
- who to contact with questions.
The new rate can't be less than the minimum in the employee's award or enterprise agreement. When award rates rise after the Annual Wage Review, the increase generally applies from the first full pay period starting on or after 1 July. Choose "Award or minimum wage increase" in the builder for that wording.
Pay rise letter FAQs
How do I write a pay rise letter?
State your current pay, the pay you are asking for, and your reasons, such as more responsibility, results you can point to, or what similar roles pay. Ask for a meeting to discuss it, and keep the letter to one page.
How much of a pay rise should I ask for?
There is no set amount. Base it on what similar roles pay and how your job has changed since your pay was last set. As a guide to the dollars involved, 5% on an $80,000 salary is $4,000 a year, or about $153.85 a fortnight before tax.
Does my employer have to give me a pay rise?
Only up to the legal minimum. Your pay can't be less than the minimum in your award or enterprise agreement. If neither covers you, the National Minimum Wage of $26.44 an hour applies from 1 July 2026. Above the minimum, a pay rise is by agreement with your employer.
When do award and minimum wages go up?
The Fair Work Commission reviews the National Minimum Wage and award wages every year. Changes usually apply from the first full pay period starting on or after 1 July.
Can I ask my coworkers what they earn?
Yes. Employees have a workplace right to share their pay and to ask other employees about theirs. A coworker can choose not to tell you. The right may not apply if your contract was signed before 7 December 2022, includes a pay secrecy term and hasn't been changed since.
Should a pay rise be confirmed in writing?
Yes, it is good practice. A short letter or email stating the old pay, the new pay and the start date gives the employer and the employee the same record. The employer templates on this page do this.
How much of a pay rise do I keep after tax?
It depends on your income, because extra pay is taxed at your marginal rate. Enter your new salary in the WorkCalc pay calculator to see your take-home pay.
Should I ask for a pay rise in person or in writing?
Doing both works well. Raise it in a meeting, then follow up with a letter or email so there is a record of what you asked for and when.