Parental leave cost calculator

Estimate the real cost to your business of one employee’s parental leave: the leave you fund, the cost of covering the role and the admin, set against the wages and super you stop paying while they’re away.

Figures checked 5 November 2026. Free to use, no sign-in.

The employee

$

Before tax.

weeks

Paid and unpaid weeks together.

Leave you pay for

weeks

From your policy or agreement. 0 if none.

How you pay it

Top up: you pay the gap between normal pay and Parental Leave Pay ($1,004.70 a week). Full pay on top: the employee gets both.

Not required by the super guarantee. Switch on if your award, agreement, contract or policy requires it.

Cover and admin

weeks
$

Temp, contractor or overtime, all-in.

hours
$

Your estimate

Net extra cost of this leave

$9,368

What you pay out ($61,784) less wages and super you no longer pay ($52,416).

Employer-paid leave
$9,544
Backfill
$52,000
Wages and super saved
$52,416

Breakdown

Employer-paid leave ($795.30 a week)
$9,543.60
Backfill
$52,000.00
Payroll admin
$240.00
Total paid out
$61,783.60
Wages not paid (26 weeks)
−$46,800.00
Super guarantee not paid
−$5,616.00
Net extra cost
$9,367.60
  • Parental Leave Pay itself is not counted: Services Australia funds it, and the ATO pays the super on it.
  • The wage saving assumes the employee is off your payroll for all 26 weeks, apart from any leave you pay for.
  • Payroll tax, workers compensation, leave that accrues during paid weeks and recruitment for the cover are not included.

An estimate for planning, not legal or tax advice.

How this works

The calculator compares the leave with the employee staying at work for the same weeks.

  • Employer-paid leave: your weeks of paid parental leave × either the gap between their normal pay and Parental Leave Pay ($1,004.70 a week in 2026–27), if you top up, or their full pay, if you pay it on top. Super on it is added only if you switch that on.
  • Backfill and admin: replacement weeks × the weekly cost of cover, plus payroll hours × hourly cost.
  • Less wages not paid: the employee’s normal weekly pay and 12% super guarantee for every week they are away (super capped at the 2026–27 maximum contribution base of $270,830 a year).

Not included: payroll tax (many states exempt paid parental leave; check yours), workers compensation, leave that accrues during paid weeks, keeping-in-touch days, recruitment for the backfill, and productivity lost during handover.

Legal basis

Checked against these sources on 5 November 2026. Spotted a figure that looks wrong? Tell us.

Questions

Does the employer pay Parental Leave Pay?

No. Parental Leave Pay is government funded. For an eligible employee you may be asked to pass it on through your payroll, but Services Australia gives you the money first. For 2026–27 it is $1,004.70 for a 5-day week ($200.94 a day).

How many weeks of Parental Leave Pay can a family get?

Up to 26 weeks (130 days) for a child born or adopted from 1 July 2026, and 24 weeks (120 days) for a child born or adopted from 1 July 2025 to 30 June 2026. Partners share the days, with some reserved for each.

Do I have to pay super on Parental Leave Pay?

No. For a child born or adopted from 1 July 2025, the ATO pays a super contribution on Parental Leave Pay directly to the employee’s fund after the financial year ends. You don’t calculate or pay it.

Do I have to pay super on employer-paid parental leave?

Not under the super guarantee. The ATO lists employer-paid parental leave as not qualifying earnings from 1 July 2026. You must pay super on it if your award, enterprise agreement, contract or policy says so, so check those before you switch the option off.

Is the employee entitled to unpaid parental leave as well?

An employee with at least 12 months’ service (including a regular, systematic casual with a reasonable expectation of continuing work) can take up to 12 months of unpaid parental leave under the National Employment Standards, and request up to 12 months more. Government Parental Leave Pay can be paid during that time.

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Questions the calculator can’t answer?

Workfloor answers pay, award, leave and termination questions for your team, with the Fair Work Act section or award clause behind each answer.

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