2026 is presenting new opportunities for Australia’s migration policy for the future. It is going to allow Australia to attempt to meet new challenges economically, socially, environmentally, and politically. The recent changes to global mobility and international migration policies show the changes of Australia’s international mobility policy. These changes are a response to the global COVID-19 Pandemic and the policies influence of the current U.S. president, Donald Trump. I have spent years observing changes in migration policies as a migration consultant operating from Chandigarh, and I have seen the changes policy updates the most affect movement of people from India and other places.
Revisions of Skilled Visas
The most important change expected in 2026 is the abolishment of temporary skilled visas, and in their place, the introduction of the Skills in Demand (SID) visa framework which will have 3 streams: a) Specialist Skills – for high earners; b) Core Skills – which is linked to a new list of acceptable occupations; and c) Essential Skills – which will capture emerging lower-wage roles that are deemed to be critical. The Core Skills Income Threshold (CSIT) will sit at about 76,515, and is projected to hit 79,499 by July, meaning only salary offers of above that will qualify nominations to be made.
For all employer-sponsored visas, Subclass 494, and 187, there will be more rigorous market salary reviews for the positional levels, meaning that migrants will be protected from exploitation as they are offered a fair salary for the positions. The major gap in my experience from advising clients (over 500) is that the above thresholds capture offers for positions in the lower wage brackets of the economy, and there are opportunities in Health Care, Engineering, and Technology that Australia need to fill at a rate of 100,000 workers.
Tightening of Student Visas
While international students have previously enjoyed the largest number of pathways to permanent residency in the new post-2023 environment with the introduction of the Genuine Student (GS) requirement, the barriers to gaining residency have become significantly higher. In addition to the GS requirement, there is now an overall IELTS requirement of 6.5 and no band can be below 5.5. Working while studying and unlimited research postgrad work is an incentive to retain “talent” as work caps have changed to allow only 48 hours of work in a 14 day period during the study term.
Post study work visas (Subclass 485) have also become less “friendly” with an age cap of 35 newly introduced (previously 50) and the cost of the visa is now $4,600. While it is still possible to bring dependents, proof of finances is now required to demonstrate $29,710 for living expenses, which is a significant burden. If a student is required to study in a regional area, there are now additional and perhaps undesirable incentives to move to less populated areas for regional study as it will provide an additional 1-2 years in the country. Because clients often overlook these incentives, I have been able to successfully assist clients in avoiding what I have termed a reverse-appeal to their case resulting in refusals.
| Visa Type | Key 2026 Change | Eligibility Impact | Fee (AUD) |
|---|---|---|---|
| SID Core Skills | CSIT to 79,499 (Jul) | Higher salary proof | 2,000+ |
| Student (500) | GS + IELTS 6.5 | Stricter intent check | 2,000 |
| Graduate (485) | Age 35 max | Fewer mature applicants | 4,600 |
| Regional (491) | State nomination priority | Ties to CSOL list | 4,770 |
Family and Permanent Migration Program Caps
Family visas will remain the same with 52,000 places in the 2025-2026 program continuing to cap places while prioritising partners and dependents as the housing crisis continues. Permanent migration also continues to cap total migration is set around 185,000 with 70% of migration made up of skilled streams. State nominations for Subclass 190 and 491 Core Skills Occupation Lists have become more targeted with point tested invites now more streamlined as the CSOL roles have become dominating.
On the Humanitarian Visa stream, there are still restrictions, and they are only accepting urgent cases. The caps announced at the end of 2025 expects net migration to be under 300,000 by the end of the year. This means more competition to apply; the goal for families is to plan ahead, as processing times are between 12 to 18 months.
Regional and Economic Incentives
To reduce urban sprawl, regional visas, such as the 491, are being processed quickly, and permanent residency is available after 3 years. Occupations on the Consolidated Skilled Occupation List, such as nursing and trade professions like electrician, have expedited nominations for immigration to the state of South Australia and Tasmania. Economically and regionally defined income thresholds will apply starting in July; however, in those regions, the market naturally exceeds those income thresholds.
Since 2024, regional settlement has increased by 20% due to these incentives. For Indian professionals, I have found that skills assessment combined with state sponsorship breaks the ice for invitations that would be impossible to obtain in Sydney or Melbourne.
Application Tips for Success
The first step to navigate the new rules for 2026 is to complete a skills assessment with an organization like VETASSESS, along with an English language assessment, and a police clearance certificate. The Department of Home Affairs is where you will submit an Expression of Interest, and it is best to aim for the higher end of the points scale, over 65. It is advisable to budget for migration agents; a lot of mistakes are made such as selecting the wrong occupation.
Due to indexing, it is best to track changes on immi.homeaffairs.gov.au. Lodging an application before the end of the financial year gives the most options as the first to do it will receive the most benefits.
FAQs
Q: When do salary thresholds increase?
A: July 1 st 2026, the new salary threshold will be AUD 79,499.
Q: Can dependents be added to the student visa?
A: Yes, provided you have the funds.
Q: What’s the limit of work that a student can do?
A: 48 hours over a 2 week period during the school term.
