$150,000 AUD Salary in Melbourne: Take-Home Pay, Rent & Daily Costs

According to statistics from the labour market, a $150,000 AUD annual salary places an individual above the normal national average income and can compete among the top-tier earners in Victoria.

The reason why professionals migrate to Melbourne is because of its expensive nature, which makes the salary worthwhile. On the other hand, rent has increased due to the high population growth, housing shortage, and strong demand.

Everyday expenses such as transportation, market, school, and daily costs are on the high side. That is why earning a $150,000 AUD Salary in Melbourne does not automatically guarantee financial freedom unless you understand how to break down your expenses.

This guide explains how the $150,000 AUD Salary in Melbourne is broken down. It explores Take-Home Pay, Rent & Daily Costs across different suburbs, everyday living expenses, transport options, healthcare costs, entertainment spending, and realistic savings potential.

Are you planning on relocating to this city? It is important you take into consideration the information in this guide, as it is designed to give you a clear, honest, and practical picture of what life with a $150k salary looks like in Melbourne.

Take-Home Pay on a $150,000 AUD Salary in Melbourne

Australia uses a progressive tax system, meaning higher earners pay higher tax rates on portions of their income. In addition to income tax, most workers pay the Medicare levy, which funds Australia’s public healthcare system.

On a gross salary of $150,000 AUD per year, the combined income tax and Medicare levy typically reduces earnings by around 30%. After tax, your net annual income sits at roughly $104,000–$106,000 AUD, translating to an estimated monthly take-home pay of $8,600–$8,800 AUD.

This places you well above the average income in Melbourne and gives you strong financial flexibility. However, how far that money goes depends heavily on housing choices and lifestyle habits.

Rent and Housing Costs in Melbourne

Housing is the single biggest expense for most people living in Melbourne. Rental prices vary widely depending on location, proximity to the CBD, property type, and demand.

Living in the Melbourne CBD and Inner-City Areas

Popular inner-city areas include the Melbourne CBD, Southbank, Docklands, Fitzroy, Carlton, Richmond, and South Yarra. These locations offer excellent access to jobs, nightlife, cafes, and public transport.

A one-bedroom apartment in the CBD or nearby inner suburbs typically costs $2,200 to $2,800 per month, depending on building quality and location. Two-bedroom apartments usually range from $2,800 to $3,500 per month.

Living centrally reduces commuting time and transport costs, but it comes at a premium.

Rent in Middle-Ring Suburbs

Middle-ring suburbs such as Brunswick, Northcote, St Kilda, Prahran, Hawthorn, and Footscray offer a balance between affordability and lifestyle. These areas are well connected by train or tram and still provide easy access to the city.

One-bedroom apartments in these suburbs generally cost $2,200 to $3,000 per month, while two-bedroom properties range between $3,000 and $4,000 per month.

Many professionals earning $150,000 AUD choose these suburbs for better value without sacrificing convenience.

Outer Suburbs and Lower-Cost Housing

Outer suburbs offer more space and lower rent, but longer commute times. These areas are popular with families or those prioritising savings over proximity to the city.

Rent is significantly cheaper, but car ownership becomes more likely, increasing overall living costs through fuel, insurance, and maintenance.

Upfront Housing Costs

When renting in Melbourne, expect to pay:

• A bond equal to four weeks’ rent
• One month’s rent in advance
• Possible moving and setup costs

Utilities such as electricity, gas, water, and internet are often not included in rent and typically add $200–$300 per month.

Transportation Costs in Melbourne

Melbourne has one of the most extensive public transport networks in Australia, consisting of trains, trams, and buses.

Public Transport

Most professionals living in inner- or middle-ring suburbs rely on public transport. A monthly Myki pass covering unlimited travel across zones costs around $160 AUD per month. Trams within the CBD are free, which further reduces costs for city workers.

Public transport is reliable, cost-effective, and often faster than driving during peak hours.

Owning a Car

Car ownership becomes more common in outer suburbs or for families. Monthly car-related expenses typically include:

• Insurance: $150–$250
• Fuel: $200–$300
• Parking: $100 or more in inner areas
• Maintenance and registration: variable

For inner-city residents, public transport often proves cheaper and more convenient than owning a car.

Food and Grocery Costs

Melbourne’s food culture is world-class, but your spending depends heavily on how often you eat out versus cooking at home.

Groceries

A single person typically spends $400–$600 per month on groceries when shopping at major supermarkets like Coles or Woolworths. Shopping at Aldi or local markets can reduce this cost by up to 30%. Couples and families benefit from shared grocery costs, making food spending more efficient.

Eating Out and Cafés

Melbourne is famous for its café culture and diverse restaurant scene.

Typical prices include:

• Coffee: $4.50–$5.50
• Casual café meal: $18–$28
• Mid-range restaurant dinner: $30–$50
• Fine dining: $100+ per person

Many professionals balance their budgets by cooking during the week and dining out on weekends.

A realistic monthly food budget combining groceries and dining out ranges between $400 and $800 AUD.

Utilities, Internet, and Phone Bills

Monthly household bills are relatively predictable in Melbourne. Electricity, gas, and water typically cost $150–$250 per month, depending on apartment size and usage. Internet plans range from $60 to $90 per month, while mobile phone plans usually cost $30–$50 per month. Altogether, utilities and connectivity average $300–$400 per month.

Healthcare and Insurance Costs

Australia’s Medicare system provides subsidised healthcare to residents and workers paying the Medicare levy. Many GP visits are bulk-billed, meaning no out-of-pocket cost.

However, higher-income earners often choose private health insurance to avoid waiting periods and access private hospitals and extras like dental and optical care.

Private health insurance typically costs:

• Basic cover: $80–$150 per month
• Comprehensive cover: $150–$300 per month
• Healthcare expenses remain manageable on a $150,000 salary, even with private insurance.

Entertainment, Fitness, and Lifestyle Expenses

Melbourne offers endless entertainment options, from live music and theatre to sports and festivals. Gym memberships range from $60 to $120 per month. Entertainment, social outings, and events can easily cost $300–$500 per month, depending on lifestyle.

Many of Melbourne’s best attractions, parks, galleries, festivals, and beaches are free or low-cost, allowing you to enjoy the city without overspending.

What a Monthly Budget Looks Like on $150,000 AUD

With a take-home pay of around $8,700 per month, a single professional living comfortably in Melbourne might spend approximately $4,800–$5,200 per month on essential and lifestyle expenses.

This leaves $3,500 or more each month for savings, investments, travel, or upgrading lifestyle choices. Even with higher rent or frequent dining out, the salary still supports a strong savings rate.

Category	Estimated Cost (AUD)
Take-home pay	$8,700
Rent (1BR inner suburb)	$2,600
Utilities & Internet	$250
Transport (Myki)	$160
Groceries	$500
Dining & Cafes	$600
Entertainment	$400
Gym	$80
Phone	$50
Private Health Insurance	$150
Personal Miscellaneous	$200
Total Expenses	$4,990
Remaining (Savings/Travel)	$3,710

This means you could potentially save 20–30% of your income or allocate more to travel, investments, or a higher standard of living.

Savings Potential and Financial Comfort

A $150,000 salary allows most people to save 20–30% of their income while maintaining a comfortable lifestyle. Couples sharing housing costs can save even more.

Melbourne’s higher cost of living is balanced by strong wages, stable infrastructure, and long-term career growth opportunities.

Lifestyle Quality Beyond the Numbers

Beyond finances, Melbourne offers a lifestyle few cities can match. The city combines career opportunities with a relaxed social culture, diverse communities, world-class education, and easy access to beaches, wine regions, and nature escapes.

For many professionals, the lifestyle benefits justify the cost of living.

Visa Considerations When Earning $150,000 AUD in Melbourne

For many high-earning professionals, especially those relocating from overseas, salary alone is not the only factor that determines whether living in Melbourne is viable. Visa eligibility, work rights, tax status, and long-term residency options all play a major role in shaping your financial and lifestyle outcomes.

Australia operates a structured migration system, and a $150,000 AUD salary often places applicants in a strong position, particularly in skilled and employer-sponsored pathways.

Skilled Migration and High-Income Professionals

Australia’s skilled migration program prioritises occupations experiencing local skill shortages. Many roles that command a $150,000 salary, such as software engineers, data scientists, cybersecurity specialists, IT architects, engineers, healthcare professionals, and senior managers, fall within high-demand categories.

High earnings can strengthen a visa application in several ways:

• Senior roles often meet skill and experience thresholds
• Higher salaries usually reflect specialised expertise
• Employers are more willing to sponsor candidates at this income level

While salary alone does not guarantee visa approval, it often correlates with stronger profiles under Australia’s points-based and employer-sponsored systems.

Employer-Sponsored Visas

Many professionals earning $150,000 AUD in Melbourne are employed under employer-sponsored visas, particularly in tech, healthcare, engineering, and corporate leadership roles.

Employer sponsorship typically provides:

• Full-time work rights
• Stability through longer visa durations
• A clearer pathway to permanent residency

At this income level, employers are usually covering or subsidising visa costs, relocation expenses, and sometimes temporary accommodation. This can significantly reduce the financial burden during your first year in Melbourne.

However, employer-sponsored visas can come with limitations, such as being tied to a specific employer. Changing jobs may require a new sponsorship or visa transfer, which is an important consideration when planning long-term finances.

Permanent Residency and Long-Term Planning

Many high-income migrants aim to transition from temporary visas to permanent residency (PR). Permanent residents enjoy broader rights, including:

• Access to Medicare without restrictions
• No work limitations or employer dependency
• Easier access to home loans and financial products
• Greater long-term security

Tax Residency Status and Its Impact on Take-Home Pay

Visa type and length of stay can affect tax residency status, which in turn influences how much tax you pay.

Most professionals living and working in Melbourne on a long-term visa are treated as Australian tax residents, meaning:

• They are taxed on worldwide income
• They benefit from the tax-free threshold
• They pay the Medicare levy (unless exempt)

Temporary residents may face different tax obligations depending on their circumstances. Understanding your tax residency status early is crucial, as it directly impacts your net take-home pay from a $150,000 salary.

Healthcare Access for Visa Holders

Healthcare access depends heavily on visa status.

Some temporary visas grant full or partial access to Medicare

Others require private health insurance as a visa condition

For high-income earners, private health insurance is common regardless of visa type, but mandatory insurance requirements can add to monthly costs. Factoring this into your budget is essential when calculating real living expenses in Melbourne.

Family Visas and Dependants

• Professionals relocating with partners or children must also consider visa conditions for dependants.
• Partners may have full or restricted work rights.
• Children may access public or private education, depending on the visa type.
• Additional healthcare and insurance costs may apply

A $150,000 salary generally provides enough income to support dependents comfortably, but visa-related schooling and healthcare fees can increase overall expenses.

Why Visa Planning Matters for Cost of Living

Visa status influences far more than your right to work. It affects:

• Access to public healthcare
• Eligibility for government services
• Long-term financial stability
• Job mobility and career growth
• Property ownership and lending options

For professionals earning $150,000 AUD, early visa planning can significantly improve quality of life and financial outcomes in Melbourne. Understanding your visa pathway before relocating helps avoid unexpected costs and ensures your salary delivers the lifestyle you expect.

Conclusion

Is $150k AUD in Melbourne enough for a good life? From our analysis, it is very comfortable, provided you make smart choices.

A salary of $150k can provide financial security, access to basic life amenities, comfortable housing, and healthcare. With proper planning, this income allows you to enjoy your stay in the city without stress.

Remember to have a balance between spending and saving.