Money basics
In short
Getting the basics right - the correct accounts, set up in a sensible structure, plus a tax file number and a first understanding of your payslip - makes everything else easier. This page covers the foundations most guides assume you already know.
Bank accounts and how to structure them
You do not need many accounts, but a little structure removes a lot of stress. A common, simple setup:
Everyday / bills account
Your pay lands here. Direct debits for rent, utilities and loans come out of here. Keep a small buffer so nothing bounces.
Spending account
A set amount moves here each payday for groceries, fuel and day-to-day life. When it is low, you know to slow down.
Savings account (high interest)
Emergency fund and goals. Choose an account with a genuinely competitive rate and no monthly fee. Keep it slightly out of easy reach.
Superannuation
Not a bank account - it is your retirement savings, held by a super fund. Your employer pays into it. More on the super page.
Set up automatic transfers on payday: a fixed amount to savings, a fixed amount to spending. What is left covers bills. This \u201cpay yourself first\u201d habit does more than any budgeting willpower.
Watch the fees and rates
Small differences add up. Before opening or keeping an account, check:
- Monthly account fees - many everyday accounts are free if you deposit a minimum each month. You should rarely need to pay one.
- Savings interest rate - rates vary widely. Some accounts pay a good \u201cbonus\u201d rate only if you meet conditions (a deposit each month, no withdrawals). Read the conditions.
- ATM and overseas fees - avoidable with the right account.
- Comparison tools - ASIC\u2019s Moneysmart is independent and free. Commercial comparison sites may be paid to feature products, so treat rankings with care.
Your tax file number (TFN)
A TFN is your personal reference with the ATO. You are not legally required to have one, but without it your employer must withhold tax at the top rate and your bank may withhold tax on interest. Applying is free through the ATO - never pay a third party for a \u201cfast TFN\u201d.
Your TFN is valuable to scammers. Give it only to your employer, your bank, your super fund, the ATO and Centrelink. Never share it in reply to a text, email or call you did not start. The ATO does not ask for it that way.
Reading your payslip
Your payslip should show, at least:
| Line | What it means |
|---|---|
| Gross pay | Your pay before anything is taken out. |
| Tax / PAYG withholding | Income tax your employer sends to the ATO on your behalf during the year. |
| Net pay | What actually lands in your account. |
| Superannuation | Paid on top of your wage into your super fund - 12% of ordinary earnings in 2026-27. It is your money for later. |
| Study/training loan (STSL) | If you have a HELP debt and told your employer, extra is withheld towards it. See the study loans section. |
| Leave balances | Annual and personal (sick) leave you have accrued, if you are permanent. |
Employers must pay super at least quarterly (moving to payday from 1 July 2026 under \u201cpayday super\u201d). Log in to your super fund or ATO online via myGov to confirm the money is arriving. Unpaid super is more common than it should be - and you can report it.
Protecting yourself and your family
Once you have income and assets, a few protections matter:
- Insurance inside super - many super funds include basic life and income-protection cover. Check what you have; it may be enough, or you may be paying for cover you do not need.
- Health and car/home insurance - compare regularly; loyalty often costs you.
- A will - decides who receives your assets. Dying without one means the law decides. Some community legal services help with simple wills.
- Super beneficiary nomination - super does not automatically follow your will. Tell your fund who should receive it (a \u201cbinding nomination\u201d is strongest).
Common mistakes to avoid
- Paying monthly fees on an everyday account you could switch for free.
- Leaving savings in a low-rate account while paying high interest on a card.
- Not giving your TFN to a new employer (you get taxed at the top rate until you do).
- Ignoring multiple super accounts - each may charge fees and insurance premiums.
- Sharing personal or banking details in reply to unexpected messages.
Sources for this page
Every figure below was checked against the official source shown. Verified 20 July 2026. Figures and rules change - always confirm before acting.
- ASIC - Moneysmart - Bank accounts, saving and switching. moneysmart.gov.au/saving - independent guidance
- Australian Taxation Office - Apply for a tax file number. ato.gov.au/tfn - free to apply
- Australian Taxation Office - Super guarantee and payday super. ato.gov.au - 12% SG for 2026-27
Verified 20 July 2026