Annual Market Salary Rate (AMSR)
A complete guide for sponsors
Published 25 Mar 2026
What is the annual market salary rate?
When nominating overseas workers for employer-sponsored visas, such as subclasses 482, 494 and 186, all employers must meet specific salary requirements to ensure fair remuneration and compliance with Australian labour market standards. In this guide, we will cover key salary thresholds and how to determine the AMSR so as to ensure the workers are paid appropriately, based on Australian industry standards. We’ll also discuss the annual indexation of salary thresholds, how to properly assess and document salary data, and the consequences of failing to comply with these requirements.
Different Types of Income Threshold
Temporary Skilled Migration Income Threshold (TSMIT)
The Temporary Skilled Migration Income Threshold (TSMIT) applies to the Subclass 494 visa and ensures overseas workers are paid fairly and not underpaid compared to Australians in similar roles.
TSMIT for Nomination Applications
The TSMIT varies by application period and must be met for both the Annual Market Salary Rate (AMSR) and the worker’s guaranteed annual earnings.
- The Annual Market Salary Rate (AMSR) is what an Australian worker would typically earn for the same job in the same area.
- The Guaranteed Annual Earnings is the total pay offered to the sponsored worker each year, excluding overtime or bonuses.
The TSMIT for nomination applications lodged from 1 July 2026 to 30 June 2027 is AUD 79,423.
The TSMIT excludes non-monetary benefits such as accommodation or company vehicles. All employers must provide these additional benefits on top of the salary to meet the TSMIT.
Core Skills Income Threshold (CSIT)
The Core Skills Income Threshold (CSIT) applies to Skills in Demand visa (SID) applications in the Core Skills stream and Employer Nomination Scheme (ENS) (subclass 186) nominations lodged on or after 7 December 2024. This threshold ensures that Australian employers fairly pay overseas workers with essential skills in line with the Australian labour market standards. The CSIT threshold for nominations lodged from 1 July 2026 to 30 June 2027 is AUD 79,423. Both the Annual Market Salary Rate (AMSR) for the nominated occupation and the worker’s guaranteed annual earnings must meet or exceed the relevant CSIT at the time of nomination lodgement.
Similar to the TSMIT, the CSIT does not include non-monetary benefits such as accommodation or vehicles. Employers must provide these items separately to meet the threshold.
Current values for every employer-sponsored threshold are kept on our visa fees and thresholds reference.
Specialist Skills Income Threshold (SSIT)
The Specialist Skills Income Threshold (SSIT) applies to the Specialist Skills stream of the SID visa (subclass 482). The SSIT threshold for applications lodged from 1 July 2026 to 30 June 2027 is AUD 146,576.
Key Points About SSIT:
1) The SSIT ensures that workers in specialised occupations are compensated at a level consistent with their expertise and the Australian labour market. 2) As with other income thresholds, the SSIT does not include non-monetary benefits like accommodation or a company vehicle. Employers must provide these additional benefits to meet the salary requirement.
The salary floor is only part of an employer’s budget — our 482 visa cost breakdown for 2026 covers every government fee, including the SAF levy.
Annual Salary Indexation for Skilled Visa Programs
Salary indexation means that the minimum income thresholds for employer-sponsored visas are reviewed and updated every year, usually from 1 July. The adjustments take into account inflation, wage growth and current economic conditions to maintain fairness between Australian and overseas workers.
Why Is It Important for Employers?
When lodging a sponsorship or nomination application, employers must meet the current income threshold that applies at the time of lodgement.
Ensure your salary meets the AMSR
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★★★★★ 4.9How the Annual Market Salary Rate (AMSR) Is Determined?
The determination of the Annual Market Salary Rate (AMSR) depends on whether the employer already has an Australian worker performing similar duties, or if an industrial award or enterprise agreement applies to the role.
An equivalent Australian worker is an Australian citizen or permanent resident who performs the same or similar work as the nominated overseas worker, at the same location, and with comparable skills, qualifications, and experience.
1. Equivalent Australian Worker + Instrument Applies
Where there is an equivalent Australian worker and an applicable Fair Work instrument, state industrial instrument, or transitional instrument:
Evidence required:
- the name and copy of the instrument, or
- employment contracts and payslips for Australian workers provided the salary is not less than the instrument rate
2. Equivalent Australian Worker + No Instrument Applies
Where there is an equivalent Australian worker, but no applicable instrument:
Evidence required:
- employment contracts and payslips for the Australian worker
In this scenario, AMSR is determined solely by internal salary evidence.
3. No Equivalent Australian Worker + Instrument Applies
Where there is no equivalent Australian worker, but an instrument applies:
Evidence required:
- the name and copy of the instrument, or
- Market data which may include Jobs and Skills Australia data, recent job advertisements showing salary ranges, remuneration surveys, or written advice from industry bodies or unions
4. No Equivalent Australian Worker + No Instrument Applies
Where there is no equivalent Australian worker and no applicable instrument:
Evidence required:
- Market data which may include Jobs and Skills Australia data, recent job advertisements showing salary ranges, remuneration surveys, or written advice from industry bodies or unions
FAQs
1. What happens if the AMSR is lower than the TSMIT?
If the Annual Market Salary Rate (AMSR) is lower than the Temporary Skilled Migration Income Threshold (TSMIT), the nomination will be refused. Both the AMSR and the worker’s guaranteed annual earnings must be at least equal to or higher than the TSMIT applicable at the time of application lodgement. This ensures that overseas workers are not paid less than the national minimum threshold.
2. Can I use international salary data to determine the AMSR?
No. The AMSR must be based on Australian labour market conditions only. Using salary data from other countries or global salary surveys will not be accepted because the Australian cost of living, wages, and employment standards differ significantly.
3. How often do I need to update the AMSR for my sponsored employees?
The AMSR should be reviewed annually or whenever there are changes in pay conditions, such as a new enterprise agreement, wage increase, or promotion. Employers must ensure the worker’s salary continues to meet both the market rate and the income threshold throughout the sponsorship period.
4. What if my Australian employee earns more due to performance bonuses — do I need to match that?
No, performance-based bonuses or individual incentives are not required to match the AMSR. The AMSR reflects the base rate of pay for the equivalent role, excluding bonuses, commissions, or other discretionary payments.
