Australian employers who rely on overseas talent have just been given four months’ notice of a significant cost increase. Figures released by the Australian Bureau of Statistics on 26 February 2026 automatically triggered indexation of the two salary thresholds that sit at the heart of the country’s temporary and permanent employer-sponsored visa system.
From 1 July 2026 the Core Skills Income Threshold (CSIT) will rise by 3.9 % to AUD 79,499, while the Specialist Skills Income Threshold (SSIT) will climb to AUD 146,717. Under Regulation 5.42A, the thresholds move in lock-step with average earnings data, so no separate ministerial decision is required. The change will apply to all new nominations for the Subclass 482 Skills-in-Demand visa (Core and Specialist streams) and for permanent residence through the Subclass 186 Employer Nomination Scheme. Labour-Agreement sponsors are caught too, unless their agreement stipulates different figures.
For HR and mobility managers the impact is immediate. Budgets for FY 2026-27 will need to be recalibrated and nomination timing re-examined. Employers with large pipelines of overseas hires typically lodge “placeholder” nominations ahead of an indexation date to lock-in the lower threshold; advisers expect a spike in lodgements during May and June as a result. Companies with regional operations should note that the Subclass 494 Skilled Employer-Sponsored Regional visa remains tied to the Temporary Skilled Migration Income Threshold (TSMIT); unless the Minister issues a separate instrument, TSMIT technically stays at AUD 76,515, creating a widening gap between metropolitan and regional salary floors.
![Australia locks-in higher salary thresholds for employer-sponsored visas from 1 July 2026]()
VisaHQ can assist employers, migration agents and individual applicants in navigating these rule changes. Through its dedicated Australia interface (https://www.visahq.com/australia/), the platform provides up-to-date threshold information, automated reminders and an intuitive document-submission workflow that helps HR teams submit compliant nominations before the new salary floors kick in.
Strategically, the government’s use of automatic indexation signals that salary safeguards are here to stay and will steadily ratchet upwards. Combined with the new Skills-in-Demand visa that replaces the older 482 Temporary Skill Shortage visa in mid-2026, Australia is nudging employers toward fewer but better-paid temporary migrants. Organisations that have relied on low-wage labour – particularly in hospitality, retail and some health-care segments – will need to revisit workforce planning or look to alternative pathways such as working holiday makers and the Pacific Engagement Visa.
In practical terms, sponsors should audit existing remuneration packages, cross-check collective-agreement rates and ensure market-salary data is up-to-date before they sign off on FY 2026-27 head-count plans. Failure to meet the new thresholds after 1 July will result in an immediate refusal of the nomination and potentially derail project timelines. Given the crowded end-of-financial-year travel calendar, proactive action is strongly recommended.
From 1 July 2026 the Core Skills Income Threshold (CSIT) will rise by 3.9 % to AUD 79,499, while the Specialist Skills Income Threshold (SSIT) will climb to AUD 146,717. Under Regulation 5.42A, the thresholds move in lock-step with average earnings data, so no separate ministerial decision is required. The change will apply to all new nominations for the Subclass 482 Skills-in-Demand visa (Core and Specialist streams) and for permanent residence through the Subclass 186 Employer Nomination Scheme. Labour-Agreement sponsors are caught too, unless their agreement stipulates different figures.
For HR and mobility managers the impact is immediate. Budgets for FY 2026-27 will need to be recalibrated and nomination timing re-examined. Employers with large pipelines of overseas hires typically lodge “placeholder” nominations ahead of an indexation date to lock-in the lower threshold; advisers expect a spike in lodgements during May and June as a result. Companies with regional operations should note that the Subclass 494 Skilled Employer-Sponsored Regional visa remains tied to the Temporary Skilled Migration Income Threshold (TSMIT); unless the Minister issues a separate instrument, TSMIT technically stays at AUD 76,515, creating a widening gap between metropolitan and regional salary floors.
VisaHQ can assist employers, migration agents and individual applicants in navigating these rule changes. Through its dedicated Australia interface (https://www.visahq.com/australia/), the platform provides up-to-date threshold information, automated reminders and an intuitive document-submission workflow that helps HR teams submit compliant nominations before the new salary floors kick in.
Strategically, the government’s use of automatic indexation signals that salary safeguards are here to stay and will steadily ratchet upwards. Combined with the new Skills-in-Demand visa that replaces the older 482 Temporary Skill Shortage visa in mid-2026, Australia is nudging employers toward fewer but better-paid temporary migrants. Organisations that have relied on low-wage labour – particularly in hospitality, retail and some health-care segments – will need to revisit workforce planning or look to alternative pathways such as working holiday makers and the Pacific Engagement Visa.
In practical terms, sponsors should audit existing remuneration packages, cross-check collective-agreement rates and ensure market-salary data is up-to-date before they sign off on FY 2026-27 head-count plans. Failure to meet the new thresholds after 1 July will result in an immediate refusal of the nomination and potentially derail project timelines. Given the crowded end-of-financial-year travel calendar, proactive action is strongly recommended.
