485 Visa Fee Increase 2026: What Changed and What It Means
The Australian government significantly increased the Subclass 485 Temporary Graduate Visa application fee, which now stands at $3,765 for the primary applicant — roughly double the previous fee of $1,895. The increase took effect as part of broader migration system reforms aimed at reducing temporary visa numbers and prioritising skilled migration. For many international graduates, this fee hike fundamentally changes the cost-benefit calculation of post-study work in Australia.
Quick Facts
| Detail | Information |
|---|---|
| Previous fee | $1,895 |
| Current fee | $3,765 (primary applicant) |
| Increase | ~99% ($1,870 more) |
| Partner (secondary) | $1,885 |
| Child (secondary) | $940 |
| Family total example | $6,590 (applicant + partner + child) |
| Effective | From July 2025 |
| Refundable | No — non-refundable regardless of outcome |
Why Did the Fee Increase?
The fee increase is part of the Australian government's broader strategy to reform the migration system. Several factors drove the decision.
Reducing temporary migrant numbers. The government has stated its intention to bring net overseas migration to more sustainable levels. Higher fees act as a financial deterrent, discouraging graduates who aren't committed to building a career in Australia.
Cost recovery. The Department of Home Affairs argues that the previous fee didn't cover the full cost of processing 485 applications, which includes GS assessments, character checks, and health examinations.
Signalling value. A higher fee is meant to signal that the 485 visa is a privilege, not an automatic entitlement after study. The government wants graduates to carefully consider whether the visa aligns with their career and migration plans before applying.
Revenue. With over 100,000 485 visa applications annually, even a modest fee increase generates significant revenue for the Department.
Impact on International Graduates
Financial Burden
For a single applicant, $3,765 is a significant expense immediately after completing studies — a period when most graduates have depleted their savings. Adding a partner ($1,885) and a child ($940) brings the total to $6,590 for a family.
For graduates from developing countries where $3,765 represents several months' salary back home, the fee may be prohibitive. Some graduates who would have applied under the old fee structure may now choose to return home instead.
Cost-Benefit Recalculation
The fee increase forces a harder look at the value proposition.
For a 2-year bachelor's graduate: $3,765 for 2 years of work rights. If you earn $60,000/year, the fee is 3.1% of your first year's salary — manageable if you find work quickly.
For a graduate who struggles to find work: Paying $3,765 and then spending months job-hunting while burning through savings makes the 485 less attractive. If you're in a field with poor job prospects in Australia, the fee increase may tip the balance toward going home.
For a PhD graduate: $3,765 for 4 years of work rights is still good value — less than $1,000 per year.
Comparison with Other Countries
| Country | Post-Study Work Visa Fee | Duration |
|---|---|---|
| Australia | $3,765 | 2-4 years |
| Canada (PGWP) | CAD $255 (~AUD $300) | 1-3 years |
| UK (Graduate Visa) | GBP £822 (~AUD $1,600) | 2-3 years |
| New Zealand | NZD $700 (~AUD $640) | 1-3 years |
Australia's 485 is now by far the most expensive post-study work visa among major English-speaking destination countries. This puts Australia at a competitive disadvantage in attracting international talent.
Grandfathering and Transitional Provisions
The government implemented transitional provisions for some graduates.
Applications lodged before the fee change: If you lodged your 485 application before the fee increase took effect, you pay the old fee. The processing date doesn't matter — it's the lodgement date that counts.
Students already enrolled: Students who were already enrolled in courses before the announcement were not given special concessions on fees. However, some universities have established hardship funds or scholarships to help graduates cover the increased cost.
Duration changes: The fee increase came alongside duration changes for some qualification levels. Master's by coursework was reduced from 3 years to 2 years — meaning graduates are paying more for less time. This double impact was the most controversial aspect of the reforms.
Alternative Pathways to Consider
The higher 485 fee makes alternative visa pathways more worthy of consideration.
Direct Employer Sponsorship
If you have a job offer from an Australian employer, the employer-sponsored visa pathway may be more cost-effective long-term. The employer bears some of the costs, and you get a longer visa with a PR pathway.
When this works: If you already have employment lined up before your student visa expires.
Skilled Independent (189) or Nominated (190)
If you have enough points, you can skip the 485 entirely and apply directly for permanent residence through the points-based system. Your Australian study already gives you points for age, English, and Australian study requirement.
When this works: If your occupation is on the skilled list and you have competitive points.
Skilled Regional (491)
The Subclass 491 pathway offers state nomination with lower points thresholds and leads to PR after 3 years in a regional area.
When this works: If you're willing to live regionally and have an in-demand occupation.
Partner Visa
If you're in a genuine relationship with an Australian citizen or permanent resident, a partner visa provides permanent work rights. The cost is higher upfront ($9,095) but leads directly to PR.
When this works: If you have an eligible Australian partner.
Working Holiday Visa
If you're under 31 (or 36 for some countries) and from an eligible country, a working holiday visa is a cheaper alternative that provides full work rights for 1 year (extendable to 3).
When this works: If you meet the age and nationality requirements and haven't already used your WHV entitlement.
Should You Still Apply for the 485?
The answer depends on your individual circumstances.
The 485 is still worth it if:
- You have strong job prospects in your field
- You're in a priority occupation with pathway to PR
- You studied in a regional area and can get the bonus duration
- Your qualification level gives you 3+ years
- You need the time to build your Australian career and immigration profile
Reconsider the 485 if:
- Your field has poor job prospects in Australia
- You only get 18 months (Graduate Work stream)
- You don't have funds to cover the fee plus months of job hunting
- You could qualify for a direct skilled or employer-sponsored visa instead
- The fee would create financial hardship
Tips for Managing the Cost
- Apply early in your final semester — budget for the fee alongside your final course fees
- Check your university's graduate support programs — some offer fee assistance or hardship funds
- Explore whether your home country offers loans for post-study visa costs
- Factor the fee into your original financial planning when deciding to study in Australia
- If applying with dependants, consider whether they need to be included on the application or could be added later
Frequently Asked Questions
Will the fee increase again?
Visa fees are adjusted annually on 1 July, typically by CPI inflation (2-3%). Major increases like the 2025 change are policy decisions that don't follow a set schedule.
Can I get a refund if my 485 is refused?
No. The $3,765 is non-refundable regardless of the outcome. This makes it even more important to ensure your application is strong before lodging.
Does the fee cover health examinations?
No. Health exams are an additional cost ($300-$400) paid directly to the panel physician. OSHC or health insurance is also separate.
Is the fee tax-deductible?
Generally, no. Visa application fees are personal expenses and not tax-deductible. However, if your employer reimburses the cost, it may be treated as a fringe benefit.
What if I can't afford the fee right now?
The Department doesn't offer payment plans. You must pay the full fee at lodgement. If you can't afford it, consider delaying your application (you have 6 months after course completion) while you save. Alternatively, explore the alternative pathways discussed above.
