Skilled-Visa Salary Increase from 1st July 2025 – Here’s What Employers Need to Know

If you sponsor, or plan to sponsor, overseas talent the new financial year brings a fresh set of salary rules. From 1 July 2025 the Government has lifted all skilled-visa income thresholds by 4.6 %, mirroring growth in the Average Weekly Ordinary Time Earnings (AWOTE). This keeps migrant wages moving at the same pace as Australian pay packets and stops any race-to-the-bottom on salary.

The New Numbers

What Stays the Same

• Indexation only hits new nominations. Existing visa holders and any nomination lodged before 1 July 2025 keep the threshold that applied on the day they were filed.
• The market-salary test remains you still have to prove you are paying at or above the going rate for the role.

Practical Steps for HR & Finance Teams

1. Refresh your budgets. Factor an extra 4.6 % into packages you intend to lodge from July onward.
2. Audit pipeline cases. If you can finalise a nomination this week, you may lock in the lower threshold.
3. Check allowances. Only guaranteed cash-component counts toward the threshold—performance bonuses or discretionary benefits don’t.
4. Tighten approval workflows. Delays after 30 June could push a file into the new salary band.

Why This Matters

Australia’s migration overhaul aims to reward genuine skill shortages while protecting local wages. For businesses, failing to meet the updated floor will see nominations refused—or worse, expose you to back-payments and penalties later. A few minutes of salary modelling now can save months of headaches.

Need a Quick Salary Health Check?

My team at Global Vision Migration helps employers­—from tech scale-ups to regional hospitals—navigate nomination strategy, AMSR evidence and visa issues.

Melbourne (03) 9978 7968 | Sydney (02) 8880 0288 | Canberra (02) 6190 7979 | Perth (08) 6388 0985 | Gold Coast (07) 2113 2408
📧 info@gvm.com.au | 📱 0430 081 804

By Saurabh Smar, Registered Migration Agent (MARN 1802044) & Lawyer – Global Vision Migration