July 13, 2017 / News
A working holiday in sunny Australia? Sounds like a dream.
Well, if you're heading down under and looking to make that dream a reality, then there' s plenty of good news for you. In order to stimulate and further strengthen Australia's $43.4 billion tourism industry, the government has made some very significant changes to the Working Holiday visa (Subclass 417). Acknowledging the importance of the contributions of working holiday makers to Australia's economy, the amendments that have been made will be very beneficial for this group and make the visa more accessible to a wider pool of people.
Here are some of the most important changes that have been made:
Reduced Visa Fee
Previously, the fee charged for a Working Holiday visa was $440. Under the new changes, this has been reduced by $50 to $390. This will help to make the 417 Working Holiday visa a little more affordable for applicants and open up the opportunity to a broader group of people.
Changes To The Tax Rate For Working Holiday Makers
If the visa holder has a taxable income of less than $37,000, the tax rate will now only be 19%. This is a significant reduction from the original tax rate of 32.5%. This means that the working holiday maker will get to pocket a larger portion of the money they have earned.
However, once the Working Holiday visa holder earns over $37,000 the same tax rates apply.
For the working holiday maker to be granted this lower tax rate, the employer will need to register with the ATO that they have working holiday visa holders in employment. This register will be available to the public so that working holiday makers can identify if an employer is registered, and help improve integrity.
The table below outlines the tax rates applicable to the income of Working Holiday makers.
[caption id="attachment_4911" align="alignnone" width="800"] Tax Rates For WHMs [Source: [Australian Skilled Migration](https://www.australianskilledmigration.com.au/immigration-news/changes-to-working-holiday-visa/)][/caption]
Changes To Work Rights
With the previous format of Australia's Working Holiday visa (Subclass 417), the holidaymaker was only able to work with the same employer for a maximum of 6 months. This stipulation has been changed and now the visa holder may work with the same employer for 12 months. However, the second 6 months must be in a different location/premises. This will help provide the visa holder with more stable employment, as they won't have to find a new employer after 6 months have elapsed.
Potential Expansion of The Upper Age Limit
Currently, to be eligible for a Working Holiday visa (Subclass 417) the applicant must be 18 to 30 years of age. The Australian Government is considering changing this and increasing the upper age limit from 30 to 35. This will allow a broader group of holidaymakers to apply for the visa and re-open the opportunity to those who may have previously just exceeded the age limit and weren't eligible to apply.
However, this change is yet to be confirmed. Only time will tell if the government will follow through with this proposal.
So, if you're looking to earn some money while visiting Australia the Working Holiday visa is the way to go. The recent changes have increased the visa's accessibility, made it more friendly for the holiday maker's pocket, and provides them with greater flexibility in their work rights.
Are you looking for flexible job opportunities to fit into your schedule? Contact Workfast on our website, or call 1300 824 403. We'd love to help you out!