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Rates & fees

Rates & fees

Rates pay for most council services. In Victoria, the state sets a yearly cap on how much a council can raise its average general rates; for 2026–27 it is 2.75%, and the City of Melbourne applies that rise. Melbourne works out rates differently from most councils: it uses your property's Net Annual Value (NAV), not its capital value, with different rates for residential and non-residential property. The cap applies to the average, so your own bill can rise or fall by more.

New to these terms? Read them in plain English
Pensioner rebate
A discount on rates for eligible pensioners.
See the full explainer, with formulas →

Rates at a glance

2026–27 rate rise
Average general rates: +2.75% (the state cap)The budget raises $357.6 million in general rates. In 2025–26 the council gave ratepayers a $10.3 million cost-of-living rebate, which the budget says will not continue in 2026–27. Melbourne has no municipal charge.
How your general rates are calculated
Net Annual Value × 3.9796 cents in the dollar (residential)4.8219 cents for non-residential property. For a home, NAV is 5% of its value, so a home valued at $1,000,000 has a NAV of $50,000 and pays about $1,990 in general rates, before other charges. For other property, NAV is about the annual net rent, and never less than 5% of its Capital Improved Value. The Valuer-General revalues every property each year.How rates are calculated →
Waste charge
$392 a year ($165 if your property's value is $510,000 or less)Charged only to properties on the council's waste collection (residential, and commercial properties that use it). It covers collection, disposal and processing, hard waste and other services, is not covered by the rate cap and is reviewed each year. In 2025–26 it was $320 and $140.About the waste charge →
Public Realm waste charge
0.059625 cents per dollar of Capital Improved ValuePaid by commercial properties that don't use the council's waste collection, for street cleaning, public litter bins and dumped rubbish.
When it's due
4 instalments (30 Sep 2026, 30 Nov 2026, 28 Feb 2027, 31 May 2027), or in full by 15 Feb 2027Or 10 monthly direct debits, from September to June. Credit card payments carry a 0.33% fee.Payment options →
Interest on overdue rates
10% per yearThe council charges the penalty interest rate, currently 10% a year under the Penalty Interest Rates Act 1983, from each instalment's due date. You can apply for help under its Rates Financial Hardship Policy.Hardship assistance →
Pensioner concessions
In most cases $595.40 off in 2026–27For eligible card holders who live at the property: a state rebate of 50% of rates up to $272.70, a further council rebate of 25% up to $272.70, and $50 off the state levy on the same notice (the council's page still calls it the Fire Services Levy). You need to apply.Concessions →
Also on your notice: ESVF
Emergency Services and Volunteers Fund — a state levyThe council collects it for the Victorian Government. It isn't council revenue and isn't covered by the rate cap.About the ESVF →

Figures come from the council's rates pages and its Budget 2026–27 (section 5.1.1). The budget's table headings label the general rates 'cents/$CIV', but its text, the council's rates page and the valuation basis it states all say general rates are on NAV; we follow the text.

Sources — check it yourself

Figures are current as at the dates shown and may change — always confirm with the linked source. See the notice at the bottom of the page for full details and how to report a correction.