Home and assets

Working from home: fixed-rate method

A published hourly rate for eligible additional running expenses when you work from home to fulfil employment duties.

Who can claim

This deduction is available to individuals.

  • You work from home to fulfil employment duties, not merely to perform minimal tasks.
  • You incur additional running expenses.
  • You keep actual hours worked from home and records for the included expense types.

What you cannot claim

  • Do not separately claim energy, phone, internet, stationery or computer consumables included in the fixed rate.
  • Do not claim costs your employer supplied, paid or reimbursed.
  • A working-from-home allowance is generally declared as income. It does not set the deduction; claim only the eligible cost calculated under this method.
  • The shortcut method is not available.

How the amount is worked out

For 2025-26 and 2026-27, eligible hours multiplied by the ATO fixed rate of 70 cents per hour. The ATO guideline sets 70 cents from 1 July 2024. Assets, repairs and separate-office cleaning may be considered separately when eligible.

You can work this amount out step by step in the Deductit calculators.

Records the ATO expects

  • Record of all actual work-from-home hours
  • At least one bill or record for each included expense type

Where this rule comes from

Primary source: ATO working from home expenses (Updated 5 May 2025). Reviewed 30 July 2026. Covers the 2025-26 and 2026-27 income years.

Next steps