From 1 July 2025, Australia will implement a 4.6% increase in skilled visa income thresholds, aligning with changes to the national Average Weekly Ordinary Time Earnings (AWOTE). This forms part of the Government’s commitment to uphold fair pay across the migration system and maintain labour market integrity.
If you're considering sponsoring a skilled worker or applying for a visa yourself, understanding how these updated thresholds impact different visa subclasses is crucial.
Understanding Indexation: Why It Happens
Each year, skilled visa income thresholds are indexed in line with national wage growth figures—specifically AWOTE. This ensures that wages offered to skilled migrants keep pace with those earned by Australian workers, avoiding undercutting and protecting workplace standards.
Why Indexation Matters:
Maintains fairness between local and migrant workers
Prevents wage exploitation
Aligns skilled migration with Australia's broader economic goals
New Skilled Visa Thresholds Coming into Effect
As of 1 July 2025, the following income thresholds will apply to new nomination applications. Note: these figures represent minimum salaries—applicants must also meet or exceed the annual market salary rate.
| Income Threshold | Current (AUD) | From 1 July 2025 (AUD) | Affected Visas |
| Core Skills Income Threshold (CSIT) | 73,150 | 76,515 | Subclass 482 (Core Skills), Subclass 186 |
| Specialist Skills Income Threshold (SSIT) | 135,000 | 141,210 | Subclass 482 (Specialist Skills) |
| Temporary Skilled Migration Income Threshold (TSMIT) | 73,150 | 76,515 | Subclass 494, Subclass 187 (pending legislation) |
These changes will only apply to new nominations lodged on or after 1 July 2025. Existing visa holders or applications submitted before this date will not be affected.
Preparing for the Changes: Employers & Applicants
For Employers
If you’re planning to sponsor skilled workers, now is the time to:
Review pending nominations – Lodge before 1 July to benefit from current thresholds.
Adjust employment packages – Ensure future offers meet the updated salary levels.
Update job listings and labour market testing – Include accurate salary details.
Seek tailored advice – Work with a Registered Migration Agent to ensure compliance.
For Visa Applicants
If you're applying under one of the affected subclasses:
Consider lodging early to take advantage of existing thresholds.
Confirm your salary offer meets the new minimums or the market rate—whichever is higher.
Explore alternatives like the Skilled Independent Visa (Subclass 189) if employer sponsorship isn’t feasible.
What This Means for Migration Planning
A Strategic Shift
This change signals a broader strategy to attract higher-skilled, fairly compensated migrants. While the thresholds are rising, so too is Australia’s focus on matching global talent with genuine local demand.
Practical Considerations
Budget planning will become more critical for employers.
Visa applicants must be prepared to demonstrate higher earning potential.
Compliance will play a bigger role in successful nominations.
Insight for Employers
For employers with recurring skill shortages, consider exploring the Employer Nomination Scheme (Subclass 186) or regional options like the Subclass 494 visa.
Looking Ahead
If your business is assessing future hiring needs—or if you’re a skilled worker mapping your path to Australia—it pays to stay ahead of policy shifts. These updates not only affect eligibility but may also influence processing times, market demand, and employer expectations.
At Migration Expert, we support clients with both personal and business migration planning. With over two decades of experience, we provide practical guidance tailored to individual circumstances.
We’re here to help you:
Navigate new salary requirements
Stay compliant and competitive
Build long-term migration strategies
Considering a move to Australia or need assistance with your visa application? Book a visa consultation with our experienced Registered Migration Agents. Let us help you navigate the complexities of the Migration Program and take your first step towards a promising future in Australia.
Explore More Resources
Temporary Skill Shortage Visa (Subclass 482)
Skilled Employer Sponsored Regional Visa (Subclass 494)
Skilled Independent Visa (Subclass 189)
Employer Nomination Scheme (Subclass 186)
About the Author
Rashmika Gunasekera
Senior Registered Migration Agent
Rashmika Gunasekera is a Senior Registered Migration Agent with over a year of experience assisting businesses and individuals with their Australian visa needs. With qualifications in both Law and Commerce from Deakin University and a Graduate Diploma in Migration Law from Victoria University, Rashmika offers clients a well-rounded, empathetic, and practical approach to migration.
Remember:
This post is for general informational purposes only and is not a substitute for professional immigration advice. Given the uniqueness of every case, engaging with a registered migration agent is highly recommended for bespoke guidance and to navigate the specific details of your situation effectively. Book a visa consultation with a Registered Migration Agent
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