Income Annualisation Calculator
Convert any income — YTD, weekly, monthly — to an annual figure for your home loan
Quick Reference Guide
How to use the Income Annualisation Calculator
Enter YTD Days Elapsed
Enter the number of days elapsed in the financial year that your YTD figures relate to. Today's figure is pre-filled automatically.
Enter Income Amounts
Enter each income type you receive — base salary, overtime, allowances, bonuses, commission, rental income or other income. Leave blank anything that doesn't apply.
Select Annual or YTD
For each income type, toggle between Annual (full year contract figure) and YTD (year-to-date actuals from your payslip). YTD amounts are automatically annualised.
Adjust Shade Rates
Default lender shade rates are pre-set (e.g. 80% for overtime). Adjust these to match your specific lender's policy if you know it, or ask your broker.
How Australian Lenders Assess Your Income
Different income types are treated differently — here is the standard approach
Your full annual salary or wages as stated on your payslip or employment contract. Most lenders accept 100% of base salary from PAYG employees.
Overtime and shift penalties are shaded to 80% by most lenders. Some lenders require 12 to 24 months of consistent overtime history before accepting it.
Bonuses and commissions are assessed at 80% of the annualised average, typically over the last 2 years. A single year of high bonus income may not be fully accepted.
Gross rental income is typically accepted at 80% to allow for vacancy periods and costs. Evidence from a lease agreement or tax return is required.
Family Tax Benefits A and B and some Centrelink payments are accepted at 100% by most lenders when the payments are expected to continue.
Child support payments are accepted at 100% when documented and expected to continue. A family court order or CSA assessment is typically required.
Want to know exactly how much you can borrow?
Income annualisation is just one piece of the puzzle. KP Mortgage will model your borrowing capacity across 50+ lenders — taking into account all your income types — and find the lender that gives you the most.
Book a Free ConsultationNo obligation · Sydney-based brokers · Fast pre-approval