What is the Core Skills Income Threshold (CSIT)?
The Core Skills Income Threshold (CSIT) is a key component in employer-sponsored visas in Australia. It sets the minimum salary requirement for workers applying under the Core Skills stream of various employer-sponsored visas, including:
- the Skills in Demand (SID) Visa (Subclass 482),
- the Employer Sponsored Visa (Subclass 186 – Direct Entry Stream), and
- the Skilled Employer Sponsored Regional (Provisional) Visa (Subclass 494).
CSIT ensures that skilled migrant workers receive fair wages that align with Australian market standards, preventing underpayment.
Employers sponsoring skilled workers under the 482, 186 (DE), or 494 visas must ensure they meet the CSIT salary requirement. Failing to do so can result in visa nomination refusals. With the upcoming salary increase in July 2025, it’s crucial for businesses to stay ahead and ensure they meet the new CSIT threshold. Additionally, visa applicants who do not meet the CSIT threshold will be ineligible for employer sponsorship, which may delay or prevent their visa applications.
Upcoming Changes to CSIT: Salary Increase from 2025
As of July 1, 2024, the CSIT is set at $73,150. However, the Australian government has announced a 5% increase, raising it to $76,515 from July 1, 2025. Additionally, the Specialist Skills Income Threshold (SSIT) will increase from $135,000 to $141,210.
These adjustments reflect economic trends and aim to maintain competitive wages for skilled migrants.
Why CSIT Matters for Employers and Skilled Workers
Employers sponsoring skilled workers under the 482, 186 (DE), or 494 visas must ensure that the salary offered meets or exceeds the CSIT threshold. Compliance with this requirement is crucial for successful visa nominations.
For visa applicants, meeting the CSIT threshold is key to securing employer sponsorship. Given the upcoming salary increase in July 2025, lodging applications early is advisable to avoid higher financial requirements.
CSIT vs. SSIT: Understanding the Difference
CSIT applies to occupations under the Core Skills Occupation List (CSOL) and ensures fair wages for general skilled roles.
SSIT (Specialist Skills Income Threshold) applies to specialized roles requiring advanced expertise. It has a higher salary threshold and is relevant to the Specialist Skills stream of the SID (482) Visa.
Employers and skilled migrants must confirm which category their occupation falls under to meet the correct salary requirements.
Key Takeaways
- The CSIT is the minimum salary requirement for workers applying under the Core Skills stream of various employer-sponsored visas, including the 482, 186 (DE), and 494 visas.
- The CSIT will increase from $73,150 to $76,515 starting July 1, 2025.
- The SSIT applies to specialized roles and will increase from $135,000 to $141,210.
- Employers must ensure that the salary offered to sponsored workers meets the CSIT threshold to comply with visa requirements.
- Visa applicants should aim to lodge their applications before July 1, 2025, to avoid the higher salary threshold.
Conclusion (Summary)
Staying informed on the CSIT and its updates is essential for employers and visa applicants. With the CSIT salary increase coming into effect in 2025, businesses should ensure their employees meet the new threshold to avoid complications in their visa applications. Regularly reviewing the CSIT and Core Skills Occupation List (CSOL) is crucial for compliance and successful visa nominations.