How much money could you save through income splitting? Use our calculator to find out.

THEMES:

Australia's income tax system is unfair to many Australian families. The government taxes husbands and wives as individuals rather than as a family. This especially hurts families who want to have a stay-at-home mother.

We've created a calculator to show you how much your family could save under two alternative systems for taxing families.

The first is the dual income splitting system that is used in Germany, the United States, Portugal, Switzerland and many other countries. It calculates your total household income and divides it evenly between the husband and wife for tax purposes. This is helpful for families where the husband and wife are in different tax brackets.

The second is the family quotient splitting system that is used in France. This doesn't just factor in the husband and wife, but also looks at how many children the family has to calculate the taxes the family owes. This is a great model that helps all families that have children, but especially large families as the more children you have, the less tax you have to pay.

Use our calculator below to find out how your family could save under both of these tax systems. If you want to see one of these systems put into law, sign the petition on the right.

 

How much could your family save with dual income splitting?

Australia taxes families as individuals rather than as a household. See how much your family could save if Australia implemented income splitting as law for households with a dependent child.

Based on 2025–26 Australian resident income tax brackets (ATO), excluding the Medicare levy and any offsets such as LITO. "With splitting" combines both incomes, halves the total, calculates tax on that half under ordinary brackets, then doubles it — the model used in this tool, and the way countries such as France share income within a household. This is an illustration of a proposed policy, not current law, and not personal financial advice.

 

Donate