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  • Writer's pictureElan Rysher

What Are the New Financial Requirements for Student Visas?

​​​From 10 May 2024, the amount of money Student (subclass 500) and Student Guardian (subclass 590) visa applicants are required to have is increasing.

The last time the financial requirements for Student visas were updated was in October 2023. That was a relatively minor increase to match inflation rates in the economy. This time, the new figures are an increase of approximately 21 percent.


The increase was announced one day before it came into effect. It is likely to have caught prospective applicants off guard. Those who are yet to have lodged their application may now need to make a bigger effort to demonstrate they meet the increased financial requirements. Others may be ineligible and will need to reconsider their visa/course options.


The financial capacity requirement has been updated to align with a proportion (75 per cent) of the national minimum wage. This proportion considers that students are out of course session for 25 per cent of the year. During this time they may return home or have access to unrestricted work.


The rationale for this new methodology is that a student visa holder should be able to support themselves to at least the standard of the lowest paid Australian worker. According to the Department of Home Affairs, the new methodology more accurately accounts for the costs of modern living, especially in light of increasing cost of living pressures.


The below table outlines the funds applicants need to show to meet the minimum financial capacity requirement, which will change from 10 May 2024.

 

Before 10 May 2024

After 10​​ May 2024

primary applicant

AUD24,505

AUD29,710

spouse or de facto partner of the Student primary applicant (not applicable to Student Guardian applicant)

AUD8,574

AUD10,394

dependent child

AUD3,670

AUD4,449

annual school costs

AUD9,661

AUD13,502

personal annual income if there is no member of the family

AUD72,465

AUD87,856

personal annual income where there is a member of the family unit

AUD84,543

AUD102,500

It is important to note that the updated figures refer to the 'living expenses' component of the financial capacity requirement. It does not include course fees and travel costs.


According to the Department of Home Affairs, the increased financial requirements will better indicate the amount of money considered reasonable to provide a minimum standard of living while studying in Australia.


Home Affairs will assess applications lodged before 10 ​May 2024 under the financial capacity requirements in effect at the time of application.


Stay tuned for more updates on changes to Student visas and other immigration news. Subscribe to the next ImmiUpdate below.


For more information please Contact Us or email elan@ryshermigration.com.au


Elan Rysher is a Registered Migration Agent and Qualified Student Counsellor. He is the main Writer for ImmiUpdates and the founder of Rysher Migration. Being a former migrant himself, Elan is passionate about helping others fulfil their Australian dream.

 

Information (or the lack of it) contained in ImmiUpdates should not be relied on as immigration assistance or advice. ImmiUpdates expressly disclaim any liability, arising at law, in equity or otherwise, for any information published or not published in past, the present or future editions of the blog. People seeking immigration assistance should seek advice from a registered migration agent and those seeking legal advice should consult a lawyer. The copyright in the newsletter belongs to Rysher Migration Services and no part of the blog is to be reproduced by any means without the written consent of Rysher Migration Services.


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