Annual salary below AUD 76,515 = disqualified!" Full analysis of 2025 Australia’s skilled migration new policy!

When Australia officially raises the skilled migration income threshold starting from July 1, 2025, this is not just a policy update, but a turning point in the overall migration direction "from quantity to quality." For professionals who aspire to migrate to Australia through employer-sponsored visas, this adjustment means that competition will become more intense, and the threshold will be higher. However, for those who truly possess strength, this is also a signal that opportunities are coming.

According to the Australian Department of Home Affairs and multiple migration consultancy agencies, from July 1, 2025, the following three types of income thresholds will be comprehensively raised by approximately 4.6%, to reflect the trend of real wage growth in Australia:

Core Skills Category (CSIT) Before adjustment: AU$73,150 After adjustment: AU$76,515 Applicable visas: 482 Temporary Skill Shortage Visa (Medium-Term List), 186 Employer Nomination Scheme Visa, 494 Skilled Employer Sponsored Regional (Provisional) Visa

Specialist Skills Category (SSIT) Before adjustment: AU$135,000 After adjustment: AU$141,210 Applicable visas: 494 Skilled Employer Sponsored Regional Visa, 187 Regional Sponsored Migration Scheme (gradually replaced by 494)

Income threshold for regional areas (TSMIT) Before adjustment: AU$73,150 After adjustment: AU$76,515 Applicable visas: 494 Skilled Employer Sponsored Regional Visa, 187 Regional Sponsored Migration Scheme (gradually replaced by 494)

Why raise the threshold? Three major considerations by the government

The core logic behind the Australian government's decision to raise the skilled migration income threshold this time is not simply to “set restrictions,” but to reflect a more precise talent introduction strategy. First, this move helps align with the local wage growth trend, avoiding low-paid immigrants putting downward pressure on the local labor market and maintaining a fair wage structure. Second, the government hopes to focus on attracting high value-added and technology-intensive talents, especially those human resources that are difficult to supply in the local market, such as medical professionals, senior engineers, and ICT talents. Positions in these fields usually play a key role in economic development. Finally, raising the income threshold also helps to screen out applicants with the ability to be financially independent, reducing dependence on the social welfare system, and thereby easing the pressure on public resources. Through these measures, the Australian government aims to build a more sustainable skilled migration system that is beneficial to the country’s long-term development.

What is the impact on applicants?

This increase in the skilled migration income threshold brings multiple shocks to potential applicants and directly changes the application strategies and preparation methods. First, application qualifications will be redefined. Some applicants who just met the old threshold, especially those from low-income or non-critical occupations, may lose eligibility as a result. Second, the requirements for income proof have significantly increased. Applicants need to provide payslips for the past 12 months, personal tax records, employment contracts, etc., to prove that their actual income meets the new threshold. In addition, the employer’s sponsorship responsibility will also increase. When companies sponsor overseas employees, they must prove that the salary for the position meets the market wage level, otherwise the visa application may be rejected. Finally, the overall review process is expected to become stricter. Immigration officers may strengthen the verification of the authenticity of positions, the reasonableness of salaries, and the financial and operational status of companies.

Four strategies

To effectively respond to this policy adjustment and improve the success rate, it is recommended to adopt the following four strategies. First, seize the time window. If the current income still meets the old standard, submit your visa application before June 30, 2025, to avoid being blocked by the new policy. Second, prepare complete and convincing application materials, including continuous payslips, tax records, employer reference letters, etc. These are key to speeding up approval and increasing the pass rate. Third, seek professional assistance, especially consult licensed immigration lawyers or MARA-registered agents, to tailor the most suitable visa plan based on your background, occupation, and regional regulations. With thorough preparation and correct strategies, even if the policy tightens, there is still a chance to break through the restrictions and successfully achieve the goal of migrating to Australia.

According to the latest report released in March 2025 by Jobs and Skills Australia, an Australian government agency, the Australian labor market is facing a serious and ongoing structural talent shortage. The report pointed out that the national job vacancy fill rate is only 69.7%, while for Skill Level 3 occupations, such as plumbers, electricians, and nursing assistants, the fill rate is even lower at 55.5%, indicating a clear shortage of skilled labor. Skilled tradespeople also account for 33% of all long-term shortage occupations, making them one of the most difficult sectors to recruit for. For example, in New South Wales, up to 77% of businesses reported difficulties in hiring staff in 2024, while the number of apprentices recruited in the same period fell by 8.3% year-on-year, reflecting a severe disconnect between vocational training and market demand.

As of May 2025, the total number of job vacancies in Australia increased by another 2.9%, reaching 339,000. On average, there are only 1.8 job seekers competing for each vacancy, far below the pre-pandemic average of 3.2, showing a continued worsening of the supply-demand imbalance. These data clearly indicate that although the government is raising the application threshold for skilled migration, there is still very strong market demand for qualified and capable professionals. Australian businesses remain eager to attract international talent to fill skills gaps that the local labor force cannot meet.

Conclusion: No need to fear change

This increase in the skilled migration income threshold clearly demonstrates the Australian government’s determination to move towards “precise talent selection and high-quality migration.” Although it poses challenges for some applicants, for those with professional skills and clear career planning, it is actually an opportunity for the strong to break through.

If you have a background in high-demand industries (such as healthcare, education, IT, engineering, finance, etc.), are willing to consider development in regional areas, and prepare your qualifications and documents early, then even if the policy changes again, it won’t be difficult to stand out in this wave of transformation and successfully embark on a new life in Australia.

👉 Next step recommendation: Immediately evaluate your salary and skills qualifications, and contact a professional migration consultant for precise planning to seize the golden application opportunity.

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Alison’s Story

Born in Hong Kong an moved to Australia, I have been associated with real estate all my life. As the plane slowly landed on the runway of Melbourne Airport, my life and career also changed to another runway. I changed from a Hong Kong real estate agent to an Australian real estate agent, and successfully obtained the Australian lawyer qualification.

When I was working in a law firm, I was surrounded by highly educated professionals. Even though their wages are very well, and they are absolutely the elites in society, but their lives are full of hard labor, and it’s hard for them to get rich through buying properties.

So I spend all my time and effort on learning financial and real estate investment knowledge, hoping to achieve financial freedom as soon as possible, and let my parents who have worked hard for many years live a good life.

Now I will share with you the knowledge and experience of investing in Australian real estate, and embark on the road to financial freedom together.

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