What does the 70 cents per hour work from home rate cover?
Updated 2026-10-15 · Australia
The ATO's fixed rate method lets you claim 70 cents for every hour you work from home in 2024–25 and 2025–26 (67 cents in 2022–23 and 2023–24). It covers home energy, mobile and home phone, internet, stationery and computer consumables. You can't claim those separately as well, and you must keep a record of the actual hours you worked from home — an estimate isn't accepted.
What the rate covers — and what it doesn't
Covered: electricity and gas for heating, cooling and lighting; phone and internet; stationery and computer consumables like printer ink.
Claimed separately: the decline in value of equipment and furniture (for example a laptop or desk), and repairs to them.
Records you need
- A record of actual hours worked from home for the whole year — timesheets, a diary or roster.
- One bill for each expense the rate covers (for example one power bill and one phone bill).
A worked example
Working from home 2 days a week × 7.6 hours × 46 weeks = 699 hours. 699 × $0.70 = $489.30 deduction.
Track it automatically
Mark a category as tax-deductible in Sorted Budget and its Tax Time tab totals it for the Australian financial year with a receipt checklist.
Frequently asked questions
Can I estimate my hours?
No. The ATO says an estimate of your hours won't be acceptable — keep a record as you go.
Is 70 cents the rate for 2025–26?
Yes, 70 cents per hour applies for 2024–25 and 2025–26 according to the ATO.
Sources
Last checked 2026-10-15.