Australia’s Skilled Visa Salary Thresholds Increasing in July 2026: What Employers Need to Know

Australia’s Skilled Visa Salary Thresholds Increasing in July 2026: What Employers Need to Know

Employers relying on skilled migration should be aware of upcoming changes to the salary thresholds used in employer-sponsored visa programs. From 1 July 2026, the Australian Government will increase the minimum income thresholds that apply to certain skilled visa nominations. 

These thresholds form part of the eligibility framework for visas such as the Skills in Demand (subclass 482) visa and the Employer Nomination Scheme (subclass 186) visa. While the increase is relatively modest, it may still affect whether a proposed salary meets the requirements for sponsorship. 

For businesses intending to recruit skilled workers from overseas, it is therefore prudent to consider the impact of these changes when planning future nominations. 

 

Annual Indexation of Skilled Migration Income Thresholds 

Income thresholds used in skilled migration programs are subject to periodic review and indexation. The Government adjusts these figures in line with broader wage growth across the Australian labour market. 

This approach is intended to ensure that sponsored workers are paid at a level consistent with Australian workplace standards and that skilled migration programs continue to target genuine skill shortages rather than lower-paid employment. 

As part of this indexation process, the key thresholds relevant to employer-sponsored migration will increase from 1 July 2026. 

 

 

Updated Income Thresholds 

From 1 July 2026, the following minimum income thresholds are expected to apply: 

Income Threshold  Current Level  From 1 July 2026 
Core Skills Income Threshold (CSIT)  $76,515  $79,499 
Specialist Skills Income Threshold (SSIT)  $141,210  $146,717 

 

These figures represent the minimum income level that must be met for certain nomination applications. However, it is important to emphasise that they do not replace the requirement for employers to pay the Annual Market Salary Rate (AMSR) for the position. 

In practical terms, the salary offered to the sponsored worker must be the higher of the relevant migration income threshold or the market salary rate for the role. 

 

Impact on the Skills in Demand (Subclass 482) Visa 

The Skills in Demand visa (subclass 482) remains the principal temporary visa used by Australian businesses to sponsor overseas workers. 

Under this program, most nominations fall within the Core Skills stream, which is subject to the Core Skills Income Threshold (CSIT). Positions offering significantly higher salaries may fall within the Specialist Skills stream, which is subject to the Specialist Skills Income Threshold (SSIT). 

For both streams, the relevant threshold must be satisfied at the time the nomination application is lodged. Employers must also demonstrate that the salary offered is consistent with the market rate for equivalent positions within the business and the broader industry. 

 

Employer Nomination Scheme (Subclass 186) 

The Employer Nomination Scheme (subclass 186) provides a pathway to permanent residence for skilled workers who are nominated by an Australian employer. 

Income thresholds may also be relevant to nominations under this visa, particularly where the worker is transitioning from a temporary employer-sponsored visa. Employers should ensure that the salary proposed for the nominated position continues to satisfy both the migration threshold and the applicable market salary rate at the time the nomination is lodged. 

 

Regional Sponsorship Pathways 

Employers operating in regional Australia may sponsor workers under the Skilled Employer Sponsored Regional (subclass 494) visa. 

Salary requirements for this visa are linked to the Temporary Skilled Migration Income Threshold (TSMIT), which is currently set at $76,515. While this threshold has not yet been confirmed to change in July 2026, it remains subject to periodic review as part of the broader skilled migration framework. 

Regional visa pathways continue to play an important role in supporting employers experiencing persistent labour shortages outside metropolitan areas. 

 

Timing of Applications 

The revised income thresholds will apply to nomination applications lodged on or after 1 July 2026. 

Where a nomination is lodged before this date, it will generally be assessed against the current income thresholds, even if the Department of Home Affairs makes its decision after the new thresholds take effect. 

For employers planning to sponsor overseas workers in the near future, the timing of the nomination application may therefore have practical implications. 

 

Considerations for Employers 

Although the increase in salary thresholds is relatively small, it may still require employers to review proposed remuneration packages for sponsored roles. In some circumstances, the change may affect whether a nomination satisfies the minimum requirements for skilled migration. 

Employers relying on international recruitment should therefore ensure that their proposed salaries meet both the relevant migration threshold and the applicable market salary rate before lodging a nomination. 

 

Seeking Advice on Employer Sponsorship 

Employer-sponsored visas remain an important mechanism for Australian businesses seeking to address skill shortages. However, these programs are subject to regular policy updates and compliance requirements. 

NB Migration Law regularly advises employers on sponsorship eligibility, visa nominations and workforce planning strategies. Our team assists businesses with the Skills in Demand (subclass 482) visa, the Employer Nomination Scheme (subclass 186) and regional sponsorship pathways, as well as labour agreements for industries experiencing sustained skill shortages. 

Employers considering sponsorship or planning to recruit skilled workers from overseas may benefit from seeking advice early to ensure that nominations meet current salary requirements and regulatory obligations. 

NB Migration Law offers a 20-minute free consultation for employers seeking guidance on skilled visa sponsorship and workforce planning. 

 

 

Book a free consultation today and let us help you find a way forward.