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Upcoming Changes to Australia’s Temporary Skilled Migration Income Threshold: What You Need to Know


Starting July 1, 2024, significant changes to Australia’s Temporary Skilled Migration Income Threshold (TSMIT) will take effect. This adjustment will impact both migrant workers and the Australian companies that sponsor them, making it an essential update for anyone involved in Australia’s skilled migration policy.

Understanding the Temporary Skilled Migration Income Threshold (TSMIT)

The TSMIT establishes the minimum salary that companies must pay foreign employees to sponsor them for a Temporary Skill Shortage (TSS) Visa. Introduced to protect Australian job standards, it ensures that qualified temporary workers are fairly compensated and prevents the hiring of foreign labor at lower rates from undermining the local labor force.

Key Changes to the TSMIT

The Australian government regularly reviews the TSMIT to reflect changes in the cost of living and labor market conditions. According to the latest migration strategy, the TSMIT will increase from $70,000 to $73,150 annually starting July 1, 2024. New nomination applications from this date will need to meet the new TSMIT of $73,150 or the annual market salary rate, whichever is higher.

Implications for Migrants and Employers

  1. Visa Application Process

Prospective migrants must secure employment offers that meet the new threshold. While this may reduce the number of available opportunities, it ensures better quality and more stable pay for those who are hired.

  1. Employer Readiness

To comply with the new TSMIT, Australian companies will need to adjust their budgetary allocations. This shift may lead to higher operating expenses, particularly for businesses heavily reliant on skilled migration to fill positions.

  1. Industry Impact

Industries that heavily depend on skilled migration, such as engineering, IT, and healthcare, could face significant challenges. However, the increase in TSMIT is expected to improve employment practices and overall industry compensation standards.

  1. Regional Considerations

Meeting the new TSMIT may be more challenging for companies in regional areas where salaries are typically lower than in urban centers. Nonetheless, government incentives aimed at promoting regional growth and migration could offset some of these difficulties.

  1. Increased Salary Offers

Employers must ensure that new employment offers meet or exceed the updated income threshold of $73,150 or the annual market salary rate, whichever is higher. This may require re-evaluating pay structures and making budgetary adjustments, especially in industries where current salaries are near the existing threshold.

Reasons for the Upcoming Changes

The revised income threshold aims to better reflect the current economic climate. As Australia’s cost of living has risen slightly over the past year, the new TSMIT ensures that skilled migrants receive pay commensurate with living costs. Additionally, the increase aims to prevent lower-paid foreign labour from undercutting domestic workers, ensuring that hiring foreign labour addresses genuine skill shortages rather than serving as a cost-cutting tactic. By attracting highly qualified immigrants who earn above the new TSMIT, the Australian government hopes to bolster the economy with skilled individuals who possess significant knowledge and experience.


The upcoming changes to the TSMIT reflect the Australian government’s commitment to maintaining fair labour standards and addressing skill shortages through skilled migration. By ensuring that temporary skilled workers are adequately compensated, these adjustments aim to support both the Australian workforce and economy. Companies and prospective migrants should prepare for these changes to navigate the new landscape effectively.

Feel free to share your thoughts on these changes in the comments section below. Don’t forget to like, subscribe, and enable notifications to stay updated on job and immigration news.

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