The Costs of Sponsoring Foreign Employees for Employer-Sponsored Visas

Australia attracts skilled professionals from around the world, and businesses often seek to sponsor foreign workers for Australian Employer-Sponsored Visas to fill job vacancies. While these visas offer opportunities, it is crucial to grasp the costs involved. In this article, we will break down the expenses associated with sponsoring foreign workers for Australian visas, helping you understand the costs involved in the applications.

Visa Types

Currently, three main employer-sponsored visa types are available: Subclass 482 Temporary Skill Shortage Visa, Subclass 186 Employer Nomination Scheme Visa, and Subclass 494 Skilled Employer Sponsored Regional Visa.

Application Steps

• For the Subclass 482 Temporary Skill Shortage Visa and Subclass 494 Skilled Employer Sponsored Regional Visa, three steps are involved:

1. 1. Sponsorship
   2. Nomination
   3. Visa Application

• For the Subclass 186 Employer Nomination Scheme Visa, two steps are involved:

1. 1. Nomination
   2. Visa Application

Sponsorship and Nomination Cost

• Becoming an approved sponsor under the Subclass 482 Temporary Skill Shortage Visa and Subclass 494 Skilled Employer Sponsored Regional Visa program: AU$420
• Nominating a visa applicant for the Subclass 482 Temporary Skill Shortage Visa: AU$330
• Nominating a visa applicant for the Subclass 186 Employer Nomination Scheme Visa: AU$540. If the business is located in a regional area, the nomination fee will be NIL for eligible streams.
• Paying the Skilling Australians Fund (SAF) levy: The amount depends on the business turnover, visa type and the proposed period of stay of the employee.

Skilling Australians Fund levy

Employers must pay the applicable nomination training contribution charge referred to as the Skilling Australians Fund (SAF) levy. The purpose of the SAF levy is for employers to contribute to the broader skills development of Australians.

The levy funds are managed by the Department of Employment and Workplace Relations (DEWR)

The Department of Home Affairs calculates the required SAF levy amount which is payable in full at the time of lodging a nomination application using information provided in the online nomination application. The online form will calculate the amount you must pay, which depends on the:

• size of the sponsoring business and
• proposed period of stay of the overseas worker in Australia.

Business size	Subclass 482 visa	Subclass 186 and 494 visas
Small (annual turnover less than $10 million)	AU$1,200 per year or part thereof	AU$3,000 one-off
Other business (annual turnover of $10 million or more)	AU$1,800 per year or part thereof	AU$5,000 one-off

Example: a business with an annual turnover of more than AUD15 million per year that wishes to nominate an employee to apply for a subclass 482 Temporary Skill Shortage Visa for a period of 4 years, the business would be liable to pay a levy of AU$7,200 (4 years x AU$1,800).

Visa Application Fee

Subclass 482 Temporary Skill Shortage Visa	Base Application Charge	Additional Applicant Charge Under 18	Additional Applicant Charge Under 18
Short-term stream	AU$1,455	AU$1,455	AU$365
Medium-Term Stream	AU$3,035	AU$3,035	AU$760
Labour Agreement Stream	AU$3,035	AU$3,035	AU$760
Subclass 186 Employer Nomination Scheme Visa	Base Application Charge	Additional Applicant Charge Under 18	Additional Applicant Charge Under 18
Direct Entry Stream	AU$4,640	AU$2,320	AU$1,160
TRT Stream	AU$4,640	AU$2,320	AU$1,160
Labour Agreement Stream	AU$4,640	AU$2,320	AU$1,160
Subclass 494 Skilled Employer Sponsored Regional Visa	Base Application Charge	Additional Applicant Charge Under 18	Additional Applicant Charge Under 18
Employer-Sponsored Stream	AU$4,640	AU$2,320	AU$2,320
Labour Agreement Stream	AU$4,640	AU$2,320	AU$2,320

Other Costs

In addition to the application fees mentioned above, there will be other incurred costs, such as professional fees for migration agents/lawyers and expenses for labour market testing, which may vary among different companies.