Skilled Visa Income Threshold Increase 2026: Update for Visa Applicants & Employers
The Australian Government has confirmed a further increase to skilled visa salary thresholds, with changes to take effect from 1 July 2026. These adjustments form part of the annual indexation tied to Average Weekly Ordinary Time Earnings (AWOTE). They will directly impact employers sponsoring overseas workers under the Subclass 482 Skills in Demand Visa.
Updated Income Thresholds From 1 July 2026
From the start of the 2026/27 program year, the following minimum salary thresholds will apply:
- Core Skills Income Threshold (CSIT): increasing from $76,515 to $79,499
- Specialist Skills Income Threshold (SSIT): increasing from $141,210 to $146,717
These figures represent the minimum base salary that must be offered to sponsored workers under the respective streams of the subclass 482 visa.
Importantly, these thresholds apply only to nomination applications lodged on or after 1 July 2026. Applications submitted before this date will be assessed against the current (2025/26) thresholds, even if a decision is made later.
Understanding CSIT & SSIT
The Core Skills Income Threshold (CSIT) applies to most roles under the Core Skills stream. Employers must ensure that the proposed salary meets or exceeds both the CSIT and the Annual Market Salary Rate (AMSR) for the position. In practice, this means the salary must reflect what an Australian worker would earn in the same role and location.
The Specialist Skills Income Threshold (SSIT) applies to higher-level or specialised roles under the Specialist Skills stream. Given the nature of these positions, the threshold is set significantly higher. As with CSIT, employers must still satisfy the market salary requirement in addition to meeting the SSIT.
These thresholds are reviewed each year to maintain alignment with Australian wage growth and to safeguard fair pay for overseas workers.
Implications for Employers
The 2026 increase, while consistent with previous indexation trends, has consequences for workforce planning and sponsorship strategies.
Employers should take steps now to:
- Review salary packages for upcoming nominations to ensure they meet the new thresholds
- Confirm AMSR compliance, as meeting the threshold alone is not sufficient
- Assess the timing of lodgements, particularly where roles are ready for sponsorship before 1 July 2026
Delays in lodging a nomination could mean needing to meet a higher salary requirement.
Implications for Visa Applicants
For skilled workers, these changes may influence both eligibility and employment negotiations. A higher threshold can be positive in terms of ensuring competitive pay, but it may also reduce opportunities in roles where employers cannot meet the increased salary requirements.
Applicants should ensure that any offer of employment aligns with both the relevant income threshold and market salary expectations.
Contact Us
For more information, contact Bambrick Legal today.
- Schedule a professional consultation with our specialists here
- Call us on 08 8362 5269
- Like us on Facebook
- Follow us on LinkedIn
Please note: Our migration and citizenship consultations are provided on a fee basis.
Related Blog – Skills in Demand Visa (Subclass 482) Pathway to Permanent Residency