186 Visa: Who Pays the SAF Levy?
Sponsoring Someone for Permanent Residence (186)? Here's Who Pays for What
You've found someone worth keeping. They're good at the job, the team likes them, and you want to nominate them for permanent residence under the Employer Nomination Scheme (subclass 186).
Then the costs come up, and so does an awkward question:
"They're the one getting PR. Can't they just pay for it?"
Some of it, yes. The costs on your side of the application, no. Home Affairs publishes exactly where the line sits, so here it is in plain English.
The short version: the Skilling Australians Fund (SAF) levy must come from you, the employer. Every time. So must the other costs of sponsoring and nominating. The worker's own visa costs are the part you can agree between you.
The costs in a 186 application
A 186 has two parts, and each part has its own costs.
The nomination. This is lodged by you, the employer. It comes with:
The SAF levy: $3,000 if your annual turnover is under $10 million, or $5,000 if it's $10 million or more. It's paid once, when the nomination is lodged.
The nomination fee charged by the Department
Professional fees for the migration agent preparing your nomination
The visa application. This is lodged by your worker. It comes with:
The visa application charge for the worker and any family members included
Health checks, police certificates and, for some applicants, a skills assessment or English test
Professional fees for the visa application
Government fees are indexed and change. We confirm the exact figures for your application when we quote.
Who pays what
SAF levy. Employer only. Absolute. The worker can't pay it, reimburse it, or have it taken from their wages.
Nomination fee. Employer only. Home Affairs says sponsorship and nomination costs can't be transferred to the visa holder or their family.
Your migration agent fees for the nomination. Employer only. Same as the nomination fee. It sits on your side of the application.
Visa application charge. Employer or worker, by agreement. Flexible.
Worker's health checks, police certificates, English test. Usually the worker. Flexible.
Agent fees for the visa application. Employer or worker, by agreement. Flexible.
The SAF levy: this one is yours
The law says the nomination must be accompanied by the SAF levy the nominating employer is liable to pay. Home Affairs states it plainly on its Cost of sponsoring page: employers must not pass the SAF levy on to the visa applicant.
That rules out every workaround we've seen employers try:
The worker transfers you the money before you lodge
You pay it, then deduct it from their wages over the following months
You pay it, then ask the worker to "pay it back when PR comes through"
A family member or a third party pays it on the worker's behalf
The levy funds training for Australian workers. It's a cost of the business choosing to employ from overseas, and the law puts it on the business.
And the trap honest employers fall into is the same one as always. The worker says "don't worry, I'll cover the levy" and you say yes to be kind. Don't accept, even if they offer first.
The nomination fee and your agent fees: also yours
Home Affairs is direct about this on the same page. You must pay for all costs associated with becoming a sponsor and nominating and sponsoring an applicant, and you can't transfer those costs to the visa holder or their family members.
That covers the nomination fee and the migration agent fees for preparing your nomination. They sit on your side of the application, so the business pays them.
There is a second reason, beyond the rule itself. Every 186 nomination has to show that the position is genuine and that the business can support it. If the worker is funding your side of the application, the case officer may ask:
Is the job real, or is permanent residence being sold?
If the business can't cover a nomination fee, can it really pay this salary for years to come?
Neither question helps your application. Pay your own side of the nomination. It's a modest cost, and it removes any doubt.
What the Department does about it
It is illegal for a person to pay an employer to sponsor them for a visa. That covers a person paying the employer in exchange for sponsorship, the employer deducting an amount from their salary, and the person providing any other benefit to the employer. Home Affairs says anyone who asks for, receives, offers or provides a benefit in return for visa sponsorship or employment may face consequences including visa refusal or cancellation, fines or imprisonment.
Most employers who get this wrong aren't exploiting anyone. They just didn't know. Set it up correctly from the start and it never becomes an issue.
Doing it the right way: a checklist for employers
1. Pay the SAF levy from the business account. Keep the payment record with your nomination file, because a clean payment trail is your evidence.
2. Pay the nomination fee and your own agent fees from the business too. Don't invoice them to the worker, and don't pass them on through a "shared costs" arrangement.
3. Put the visa-side costs in writing. If the worker is paying their own visa application charge or health checks, agree on it before lodging so there's no confusion later.
4. No deductions, no bonds, no "pay it back if you leave" clauses covering the levy or your nomination costs. Check your employment contract for anything like this.
5. Say no when the worker offers to pay the levy. Politely, every time.
6. Is the worker still on a Skills in Demand (subclass 482) visa with you? Talk to us first. Your obligations as a 482 sponsor still apply while they hold that visa.
The honest summary
The SAF levy is yours, with no exceptions and no workarounds.
The nomination fee and your agent fees are yours too. Home Affairs says the costs of sponsoring and nominating can't be transferred to the worker or their family, and passing them on also makes the Department ask whether the job is genuine.
The worker's own visa costs can be split however you both agree, as long as it's clear and in writing.
Planning a 186 nomination?
Whether you're moving a subclass 482 visa worker to permanent residence or nominating someone directly, bring us three things:
1. Your business's most recent annual turnover. It sets the SAF levy.
2. The worker's current visa and its expiry date
3. What they actually do for you, meaning the real job and not just the payroll title
We'll tell you which 186 pathway fits, what it will cost the business, and how to structure the payments so that your nomination holds up.
Nationwide Migration and Education is a Brisbane-based registered migration agency specialising in employer-sponsored visas: the subclass 482, 186 and 494. We guide employers through nomination and visa from start to finish.
Book A Consultation
Call or WhatsApp: +61 7 3726 5183
320 Adelaide Street, Brisbane QLD 4000
Disclaimer
General information only, current as at September 2026. Not migration advice for your specific circumstances. Registered Migration Agent MARN 1800859.
Nationwide Migration and Education is not affiliated with the Australian Government or the Department of Home Affairs. All visa decisions are made solely by the Department of Home Affairs.
