Money wrapped in a bow

 

Skilling Australians Fund Guide

The Migration Amendment (Skilling Australians Fund) Bill 2017 and the Migration (Skilling Australians Fund) Changes Bill were passed last year by the Australian senate.

The Skilling Australians Fund (SAF) levy impacts employers sponsoring overseas workers on both temporary and permanent visas. It officially came into force on August 12th 2018.

What is the Skilling Australians Fund?

The SAF levy will be payable by Australian employers who wish to sponsor overseas workers. The money raised will be used to fund vocational education and training for Australian workers. SAF replaces the ‘training benchmark requirements’ that employers had to meet previously.

How much is it?

The amount payable depends on a few different factors, including the sponsor’s turnover in the 12 months prior to lodgement, and the number of employees being sponsored.

PR visas (186 and 187, TRT and DE) 

  • Turnover greater than $10 million: A one-off fee of $5,000payable at the time the nomination is lodged
  • Turnover less than $10 million: A one-off fee of $3,000 payable at the time the nomination is lodged

TSS/482 visa (MLTSSL, STSOL and RSOL occupations) 

  • Turnover greater than $10 million: $1,800 for each year of the TSS visa, payable at the time the nomination is lodged
  • Turnover less than $10 million: $1,200 for each year of the TSS visa, payable at the time the nomination is lodged

Is the amount capped?

Yes, the Skilling Australians Fund fee is capped.

For the financial year ending 30 June 2018, the capped limit was:

  • $5,500 for a permanent residency visa nomination(186 or 187 visas, through Temporary Residency Transition or Direct Entry)
  • $8,000 for TSS visa a nomination (regardless of the occupation list)

It’s likely that the capped amount for future financial years will be similar. The amount is calculated by the Government annually using a specific formula.

Can the money be refunded if things don’t work out?

Things aren’t always plain sailing in the world of visas and, under certain circumstances, the SAF levy can be refunded in some cases. For example, if the visa is approved by the employee fails to commence work.

See the full list of reasons here.

What about current sponsors?

The levy will apply to all nominations, including those made by sponsors who already employ apprentices or have other training expenditure.

*Please note: This information is all subject to the associated regulations and legislative instruments being put in place, we will update it if details change.

For more information on employer-sponsored temporary visas and employer-sponsored PR, contact True Blue Migration Services today.