The 1987 Australia Day Honours are appointments to various orders and honours to recognise and reward good works by Australian citizens. The list was announced on 26 January 1987 by the Governor General of Australia, Sir Ninian Stephen.

The Australia Day Honours are the first of the two major annual honours lists, the first announced to coincide with Australia Day (26 January), with the other being the Queen's Birthday Honours, which are announced on the second Monday in June.

† indicates an award given posthumously.

Order of Australia Companion (AC) General Division Recipient Citation Notes Arthur John Birch, For service to science, particularly in the field of organic chemistry Hugh Reskymer Bonython, For service to the community, particularly as Chairman of the SA Jubilee 150 Board James (Anthony) Rowland, For service to the Crown and to the people of New South Wales

Officers (AO) General Division Recipient Citation Notes Francis Alfred Billson For service to medicine, particularly in the field of ophthalmology Milton Deane Bridgland For service to industry, particularly through his contributions to industry associations and councilsDonald Vernon Burrows, For service to music, particularly in the field of jazz music Barry Leighton Cole For service to medicine, particularly in the field of optometryStella Cornelius, For service to international relations, particularly in the cause of peacePeter John Waraker Cottrell, For service to secondary industry William Charles Crockett For service to the law, to the Rules Committee of the Supreme Court of VIC and to horse racing David Henry Curnow For service to science, particularly in the field of clinical biochemistry Frederick Rawdon Dalrymple For service to the Public Service as a diplomatic representative Rosemary de Brissac Dobson For service to literature, particularly in the field of poetry Stanley Jack Marcus Goulston, For service to medicine, particularly in the field of gastroenterology Frederick Sheppard Grimwade For service to the Victorian Parliament, to agriculture and to the community Keith Jackson Hancock For service to learningBarbara Rosemary Hardy For service to conservation and the community. Adolphus Marcus Hertzberg For services to the sugar industryJohn Harold Kaye, For service to scoutingBryan Nivison Kelman, For service to industry and to the promotion of exportsMark Matthew Leibler For service to the community, particularly to the Jewish communityDavid George Joseph Malouf For service to literature Raymond Leslie Martin For service to learning Russell Lloyd Mathews, For service to government and to educationKenneth Maxwell McKenna For public serviceHugh Matheson Morgan For service to the mineral industry and to the arts Francis Mervyn Neasey For service to the law and to law reformBrian John Downey Page, For service to the legal profession and to governmentCharles Nelson Perkins For service to Aboriginal welfare Keith Rayner For service to religionDonald Robert Shanks, For service to opera Frank Douglas Stephen, For service to paediatric surgery, particularly in the field of researchRae Martin Taylor For public serviceJohn Edwin Tomlinson For service to accountancy and to the community Peter Stephen Wilenski For service to international relations and to public sector reform, particularly through fostering the implementation of social justice and equity principlesJohn Christopher Williams, For service to music

Military Division Branch Recipient Citation NotesNavy Phillip Graham Newman Kennedy For exceptional service and performance of duty in the Royal Australian Navy, particularly as the Chief of Naval Operational Requirements and Plans Neil Ralph, For exceptional service and performance of duty in the Royal Australian Navy, particularly as the Chief of Naval StaffArmy Henry John Coates For service as Head of the Defence Staff, Washington Peter Julian Day For service to the Australian Army as Deputy Chief of the General StaffAir Force Alan Edwin Heggen For service to the Royal Australian Air Force as Chief of Air Force Materiel

Member (AM) General Division