Increase to skilled visa income thresholds and other 1 july changes ey updates 164095972555
Published: 1-Oct-24 | By EY (Ernst & Young)
Increase to skilled visa income thresholds and other 1 July changes - EY updates
From 1 July 2025, skilled visa income thresholds will be increased by 4.6% in line with changes to the Annual Average Weekly Ordinary Time Earnings (AWOTE).
Core Skills Income Threshold (CSIT) will increase from AUD73,150 to AUD76,515
The Specialist Skills Income Threshold (SSIT) will increase from AUD135,000 to AUD141,210
The Temporary Skilled Migration Income Threshold (TSMIT) will increase from AUD73,150 to AUD76,515
On 1 July 2025, the superannuation guarantee rate will increase to 12%. Where superannuation is calculated on top of employees’ base salary there are no immigration considerations as base salary and ‘annual earnings’ will not be reduced. Where the superannuation component of total remuneration packages is increased and the base salary is reduced, there is a risk that the sponsorship obligation not to reduce the ‘annual earnings’ of sponsored visa holders may be breached as superannuation guarantee contributions are excluded from annual earnings.
VAC increases are yet to be announced however, expect that they will increase between 2% and 4% aligned with the Consumer Price Index. No additional increases to application charges were announced in the recent Federal Budget