it was announced that Australia will raise the minimum income threshold for many skilled visas to AUD 73000 starting November 2025. This is a major shift in migration policy and it affects people who wish to apply for employer-sponsored visas or renew them. In this article we will explain what is changing who is impacted and how you can prepare.
What Is the Skilled Visa Income Threshold
The Skilled Visa Income Threshold also known as TSMIT (Temporary Skilled Migration Income Threshold) is the minimum salary an employer must pay a foreign skilled worker if they want to sponsor them. If the offered salary is below this threshold the visa application may be refused.
Read More: Australia DAMA 3 Visa Program 2025 No IELTS No Degree
The Current vs New Threshold
- Presently the threshold sits at around AUD 70000
- From November 2025 the salary must be at least AUD 73000
Thus the threshold is rising by AUD 3000 to tighten requirements.
Why Australia Is Raising the Bar
Australia gives several reasons for this change
- Fairness and wage integrity
They want to avoid paying foreign workers much less than local workers in equivalent roles - Attracting genuine skilled talent
The goal is to filter out low skill or low-paid offers and attract higher value professionals - Keeping up with inflation and market wages
Because cost of living and wages increase over time the threshold needs periodic adjustment - Preventing exploitation
Some sponsored workers in the past were underpaid and this move helps reduce that risk
Which Visa Types Are Affected
The policy primarily affects employer-sponsored visa categories including
- Subclass 482 – Temporary Skill Shortage (TSS) visa
- Subclass 186 – Employer Nomination Scheme (ENS)
- Also possibly others under employer sponsorship or nomination streams
These are the visas where the employer promises a salary and benefits and wages are checked carefully.
How the July 2025 Indexation Plays a Role
From 1 July 2025 Australia will also index the skilled visa income thresholds upward by 4.6% based on average earnings growth. Some thresholds such as CSIT (Core Skills Income Threshold) and Specialist Skills Income Threshold (SSIT) will also shift.
This means there is already momentum to raise wages and tie migration policy to real market changes.
Impact on Skill Migrants
For people hoping to migrate
- Some currently eligible candidates earning between 70000 and 73000 might lose eligibility if their offers don’t meet the new bar
- You will need to show a valid job offer or contract with salary of at least 73000 AUD
- All supporting documents like qualifications work history and references become even more important
- If you are already in Australia on a temporary skilled visa you might negotiate with your employer to raise your pay before renewing
Impact on Employers
Employers who sponsor foreign workers will face new challenges
- They must budget for higher wages to meet the threshold
- Smaller businesses may find it harder to sponsor many roles especially entry level ones
- Employers will need to justify that the role’s salary is fair in the market and not just meeting the bare minimum
Strategies Before November 2025
If you plan to apply under the older threshold act early
- Lodge your visa application before November 2025 if your salary offer qualifies now
- Negotiate stronger salary offers so they meet or exceed the new bar
- Upgrade your skills or qualifications so you can earn higher pay
- Consult a migration agent who can guide you on strategy and timing
- Prepare your documentation well such as proof of work pay slips and employer letters
Also See: Australia Work Visa Sponsorship Jobs 2025 AUD 65000 Yearly
Possible Challenges and Criticisms
- Some fear that this change may exclude mid level professionals whose roles traditionally pay below 73000
- Others argue that rising wages can push costs for employers affecting hiring
- There is debate whether this excludes younger professionals or those in emerging fields
- The change may reduce demand for sponsorship in sectors where salary levels are lower
Long Term Goals Behind the Policy
Australia is trying to reshape its migration system to prioritize quality over quantity. By pushing the threshold upward the government hopes to
- Attract migrants who contribute economically
- Reduce underpaid or exploitative contracts
- Make migration more sustainable
- Balance labour supply with fairness to Australians
What You Should Do Now
- If you are applying check the job list and ensure your occupation is eligible
- Ask your employer if they can increase the salary offer
- Consider applying before November under the old threshold if possible
- Stay updated on migration rules and announcements
- Get advice from a registered migration agent or lawyer
Future Outlook
This move signals a tougher migration environment. Over time thresholds may continue to rise in line with wages. Australia’s government seems committed to preventing visa misuse and protecting wage standards. The new bar may push prospective migrants to aim higher with better skills stronger experience and more competitive offers.
Conclusion
Australia’s decision to raise the skilled visa income threshold to AUD 73000 from November 2025 marks a significant tightening of migration rules. It will influence both aspiring migrants and employers who seek to sponsor foreign talent. If you are planning a visa application now is the time to act. Review your salary negotiate gather documentation and consider lodging before the change. At the same time employers must prepare to offer better pay. This change reflects Australia’s shift toward a more rigorous merit-based migration model that rewards genuine skill and fair wages.