Getting an ABN as a locum doctor: A step-by-step guide

If you are starting locum work in Australia, one of the first things you will need is an Australian Business Number (ABN). An ABN allows you to work as an independent contractor, invoice hospitals or clinics directly, and manage your own tax and super.

This guide explains what an ABN is, why you need it, and how to get one.

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What is an ABN?

An ABN is a unique 11-digit number that identifies your business to the government and other businesses. For locum doctors, it means you are operating as a sole trader or through a company, rather than being an employee.

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Why Do Locum Doctors Need an ABN?

Most hospitals and locum agencies require doctors to have an ABN for contract or temporary work. It allows:

• Direct invoicing for your services
• Control over your income and expenses
• Freedom to work with multiple hospitals or clinics
  
  

Without an ABN, you may have to be paid under PAYG employment, which limits flexibility and may result in higher tax withheld.

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Step-by-Step: How to Get an ABN

Step 1: Go to the Australian Business Register (ABR)

Visit the official site: abr.gov.au.
Click “Apply for an ABN” and follow the online prompts.

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Step 2: Choose Your Business Structure

For most locum doctors, sole trader is the simplest option.
You can also set up a company (Pty Ltd) later if you want to expand or split income for tax purposes.

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Step 3: Enter Your Details

You will need to provide:

• Your TFN (Tax File Number)
• Full name and address
• Business activity (select “medical services” or “locum doctor”)
• The date you started or plan to start work
  
  

Step 4: Confirm GST Registration

GST registration needs to be clicked if your annual income is going to exceed $75,000 (pre-tax). This is relatively easy in the locum world. Therefore, if you are going to be close or exceed I recommend confirming GST. If you are GST registered then when you sent invoices to a hospital/clinic you add 10% on top off your rate for GST. Then every quarter you pay that as a tax to the government via a BAS (Business Activity Statement). You can apply for GST later, so don't worry too much about this, but its easier to just get it up front in my opinion. 

Step 5: Submit and Record Your ABN

Once approved, you will receive your ABN instantly. Keep it in your records and include it on all invoices you send to hospitals or agencies.

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Common Mistakes to Avoid

• Using your ABN for other purposes outside of locum work (dont do this as it causes a lot of tax issues)
• Forgetting to register for GST once you exceed the threshold.

Not setting aside money for tax and super. As a contractor, you need to manage these yourself.