Increase to the Temporary Skilled Migration Income Threshold

From 1 July 2012 , the Temporary Skilled Migration Income Threshold (TSMIT), will be indexed by 4.2 per cent, in line with the Australia-wide increase in average weekly earnings. This will increase TSMIT from $49 330 to $51 400.

The increase to the TSMIT will apply to all nomination applications which are decided on or after 1 July 2012, regardless of lodgement date.

Standard business sponsors are required to pay their overseas workers the market salary rate. The increase to TSMIT means that where the market rate for a position is less than $51 400, the position cannot be nominated under the 457 program.

The TSMIT is set at this level to ensure that all Subclass 457 visa holders have sufficient income to independently provide for themselves in Australia.

The TSMIT helps ensure that Subclass 457 visa holders do not impose undue costs on the Australian community or find themselves in circumstances which may put pressure on them to breach their visa conditions. This is particularly important given these workers do not have access to a range of government support available to Australian citizens and permanent residents.
See: IMMI 12/047 Temporary Skilled Migration Income Threshold (TSMIT) and market rates exemption level

Increase to the high-income exemption to the English language requirement

In line with the increase to the Temporary Skilled Migration Income Threshold the high income exemption to the English language requirement will also be indexed by 4.2 per cent. The exemption salary will increase from $88 410 to $92 000 for all visa applications decided on or after 1 July 2012.
See: IMMI 12/048 English Language Exemptions