How Much Should Employers Pay in Sponsored Visas? Understanding the AMSR and TSMIT
This article relates to Visa Subclasses 482, 494, and 186, which are all Employer Sponsored Visas. One of the requirements for these visas is that the employer must pay the employee according to the Annual Market Salary Rate (AMSR).
To understand the AMSR, you first need to understand what the TSMIT is.
Temporary Skilled Migration Income Threshold (TSMIT)
The government sets the minimum salary level to be paid to the sponsored employee (overseas worker). The TSMIT sets the minimum salary level that employers must meet when sponsoring overseas workers. The TSMIT ensures overseas workers are not paid less than what Australian workers receive, protecting the local labour market. TSMIT is indexed, and will be adjusted each financial year in line with the Average Weekly Ordinary Time Earnings (AWOTE).
Here are the TSMIT levels for recent years:
- AUD 73,150 for nominations lodged between 1 July 2024 and 30 June 2025.
- AUD 70,000 for nominations lodged between 1 July 2023 and 30 June 2024.
- AUD 53,900 for nominations lodged between 1 July 2013 and 30 June 2023.
Employers must ensure the AMSR and the nominated worker’s guaranteed earnings meet or exceed the TSMIT at the time of application. Non-monetary benefits like accommodation or cars are not included in this calculation and must be provided in addition to the TSMIT.
How to determine the AMSR?
The AMSR can be determined using one of the following methods:
- Check for an Equivalent Australian Worker: The employer should first check if there is an equivalent Australian worker already employed in the company. An equivalent Australian worker must be an Australian permanent resident or citizen with the same education, years of work experience, position, and tasks as the sponsored employee. If such a worker exists, the salary paid to them becomes the AMSR. Evidence of the equivalent Australian worker, such as payslips, employment contracts, and proof of Australian citizenship or permanent residency, should be submitted with the application.
- Enterprise Agreements or Industrial Awards: If there is no equivalent Australian worker, the employer can refer to enterprise agreements or industrial awards. The salary specified in these agreements or awards becomes the AMSR. However, it must not be less than the TSMIT.
- AMSR Report: If the above two methods do not apply, the employer must provide an AMSR Report detailing how the AMSR was determined. Relevant information should include at least two of the following:
- Job Outlook information
- Advertisements from the last six months for equivalent positions in the same location (e.g., state, urban vs. regional area)
- Remuneration surveys completed by a reputable organisation
- Written advice from unions or employer associations
