Tax File Number (TFN): How to Get Yours & Why It Matters

Before you earn a single dollar in Australia, there's one bit of admin you absolutely cannot skip: your Tax File Number, or TFN. It's free, it takes minutes to apply for, and getting it sorted early can save you literally thousands of dollars. Skip it, and the tax office will quietly take nearly half your pay. Here's everything you need to know.

What is a TFN?

A TFN is your personal tax identification number with the Australian Taxation Office (ATO). Think of it like a tax ID that follows you for life — every employer, bank and super fund uses it to track what you earn and what tax you've paid. You only ever get one, and you keep the same number even if you leave and come back years later.

You'll need it for:

• Starting any job (your employer will ask for it)
• Opening a bank account properly
• Setting up superannuation
• Lodging your tax return at the end of the year

Why no TFN = 47% tax

This is the part that catches backpackers out. If you start work without giving your employer a TFN, you don't just lose a small amount — you get taxed at the top no-TFN withholding rate of 47%.

That means nearly half of every pay packet vanishes from day one.

Working a 30-hour week at around $30/hr, that's roughly $900 gross. Without a TFN, you could lose about $420 of it to withholding — instead of the far lower rate you'd pay as a working-holiday maker. Over a few weeks, that's a flight home.

Working-holiday makers have their own tax scale, which starts at 15% on the first slice of income — dramatically less than 47%. But you only get that rate once your TFN is in the system and your employer registers you correctly. So the message is simple: get your TFN before your first payday.

How to apply for your TFN

The good news is that it's free and easy. Never pay a third party just to "get" a TFN for you — applying directly costs nothing.

Step by step

• Apply online through the ATO website — this is the standard route for working-holiday makers.
• You'll generally need to be in Australia with a valid visa to apply.
• Have your passport and visa details ready.
• Provide an Australian address where the ATO can post your TFN.

The application itself takes around 15–20 minutes. Your TFN is usually issued within up to 28 days, though it's often much faster. Apply as soon as you arrive so it's ready before you start work.

If the tax side feels overwhelming — especially when it comes to claiming back any overpaid tax later — a specialist service like Taxback.com can handle the paperwork and chase any refund you're owed at the end of the year.

Get on myGov

Once you have your TFN, set up a myGov account and link it to the ATO. This is your portal for everything tax-related in Australia:

• Tracking your income and tax paid
• Lodging your tax return
• Checking your superannuation
• Updating your details

It's free, and linking the ATO early makes tax time painless.

Don't forget superannuation

Here's money many backpackers don't realise is theirs. Superannuation ("super") is Australia's compulsory retirement savings system. On top of your wage, your employer must pay a percentage of your earnings into a super fund for you — currently 12% as of 2026.

For backpackers, the great news is that you can claim most of your super back when you leave Australia permanently, through a process called a DASP (Departing Australia Superannuation Payment).

A few tips:

• Choose one super fund and stick with it across jobs, so your super doesn't get scattered.
• Keep your fund and member details handy for each employer.
• Apply for your DASP once you've left and your visa has expired.

Note that the DASP is taxed at a high rate for working-holiday makers, but it's still real money you'd otherwise leave behind.

Getting your money home

When you finish up and claim back tax or super, you'll want to move that money to your home account without losing a chunk to bad exchange rates. A service like Wise (multi-currency account) typically gives you the real mid-market rate and low, transparent fees — far better than most banks for international transfers.

The bottom line

Sorting your TFN is the single most valuable hour of admin you'll do in Australia:

• It's free — apply directly through the ATO, never pay for it.
• No TFN means 47% tax instead of the working-holiday rate starting at 15%.
• Set up myGov and link the ATO straight away.
• Track your super and claim it back when you leave.

Do it in your first week, before your first shift, and the rest of your working-holiday finances will fall into place.