From 1 July 2025, skilled visa income thresholds will increase by 4.6%,

affecting nomination applications for:

• Skills in Demand visas (Subclass 482)
• Employer Nomination Scheme visas (Subclass 186)
• Skilled Employer Sponsored Regional visas (Subclass 494), and
• Regional Sponsored Migration Scheme visas (Subclass 187).

Skilled visa income thresholds are minimum salary levels that employers must meet when nominating foreign workers for skilled visas in Australia. They safeguard fair compensation while protecting Australian wage standards from being undermined through skilled migration programs.

The Australian government indexes these thresholds annually to match wage growth for Australian workers, as measured by the Average Weekly Ordinary Time Earnings (AWOTE).

Key visas impacted

The threshold increases will affect several visa subclasses:

1. Skills in Demand visa (Subclass 482)
   • Core Skills stream: Subject to the increased CSIT (AUD76,515)
   • Specialist Skills stream: Subject to the increased SSIT (AUD141,210)
     
     
2. Employer Nomination Scheme visa (Subclass 186)
   • Subject to the increased CSIT (AUD76,515)
     
     
3. Skilled Employer Sponsored Regional visa (Subclass 494)
   • Subject to the increased TSMIT (AUD76,515)
     
     
4. Regional Sponsored Migration Scheme (RSMS) (Subclass 187)
   • Subject to the increased TSMIT (AUD76,515)

For skilled workers, the 4.6% threshold increase means higher minimum salary requirements for new visa applicants, ensuring their wages keep pace with the Australian labour market. Importantly, these changes won't apply to existing visa holders and nominations lodged before 1 July 2025.

Employers sponsoring skilled migrants will face increased hiring costs and must ensure nominations meet the new thresholds or the annual market salary rate, whichever is higher. Organisations should review their talent acquisition strategies and adjust budgets accordingly, particularly when planning nominations across different visa subclasses that are subject to different threshold requirements.

• The 4.6% increase in income thresholds aligns with Australia's Migration Strategy and ensures wages for skilled migrants rise at the same rate as Australian workers
• Current visa holders and nominations lodged before 1 July 2025 will not be affected
• Employers must plan ahead to account for these higher thresholds in their hiring budgets

Source: Department of Home Affairs