Assurance of Support (AoS) Increased by about 50%

!!BREAKING: Backdown on parent visa sponsorship change!!

Social Services Minister Dan Tehan was forced to back down on his proposal to increase income requirements for people wanting to sponsor their parents to Australia

The minister contacted Senator McKim to confirm the government would return to the old arrangements.

– Updated 21 May 2018

In simple terms, Assurance of Support (AoS) is a legal agreement you make with the department to help your family member get a visa to live in Australia. It is a provision financial support for the duration of the AoS period to ensure that the visa applicant will not rely on social security payments.

Assurer – the person that gives the support i.e. the sponsor

Assuree – the visa applicant/s. The Assuree can be a family of up to 2 adults and their dependent children.

For the purpose of this article, we will only be covering Assurance of Support for Parent Visas and Relative visas.

Who can be the Assurer?

To be an Assurer you must be:

  • An Adult (18 years old or older),
  • Australian resident (Australian citizen, Permanent resident or Special Category visa holder), and
  • In Australia

Mandatory AoS

 

Assurance of Support is mandatory. It must be provided as part of the application process in order for the visa to be granted to your family members and their dependent children. AoS is generally requested by the Department of Home Affairs (DoHA) before the visa is decided.

Mandatory AoS applies to the following visa subclasses:

Number Subclass
103 Parent
114 Aged Dependent Relative
115 Remaining Relative
143 Contributory Parent
804 Aged Parent
835 Remaining Relative
838 Aged Dependent Relative
864 Contributory Aged Parent

The period for which the AoS is held

  1. 10 years for Contributory Parent and Contributory Aged parent
  2. 2 years for any other visas mentioned above

If I have lodged the visa before the implementation date, does it still affect me?

Yes, because the AoS is ‘at the time of decision’ requirement and will only be requested to be satisfied before the visa is decided, your visa application will be affected if not decided before.

Significant increase in level of income requirement

The income requirements are enforced to ensure that the Assurer has the financial capacity to support the applicant/s.

The Assurer must provide evidence of their assessable income for the current financial year. Documents to satisfy this may include things such as:

  • Document showing the individual’s gross income and period of service or employment e.g. payslips, group certificate etc.
  • Financial statement or other business showing the individual’s gross and net business income a specified period

The Assurer must also provide evidence of their assessable income for the first and second financial year. Evidence that may be provided can be, for example, a notice of assessment issued in relation to the in individual and the year.

Proof of income requirements has been commenced from 1 April 2018.

You can check the current Income Requirement from the Department of Health Services website link below:

https://www.centrelink.gov.au/custsite_aoscalc/aoscalc/financialCalPage.jsf?prg_id=0a22b56c839d45ff88336c2727da64b8&wec-appid=aoscalc&page=1C0EADC1A5804952B374580CFFB9BDFD&wec-locale=en_US#stay

Income requirement for a single individual Assurer

The Assurer must meet the income requirement for a financial year if the amount of the individual’s income for the year is at least the total of:

(a) the newstart income cut-off amount multiplied by the total of:

(i) one (representing the individual giving the assurance of support); and

(ii) the total number of adults receiving assurance under the assurance of support given by the person; and

(iii) if the individual giving the assurance of support has a partner – one; and

(b) 10% of the newstart income cut-off amount multiplied by:

(i) the number of children of the individual giving the assurance of support; and

(ii) the number of children of any adults receiving assurance under the assurance of support.

 

Example 1: You and your partner have 1 child and you want to both (2) of your parents and 2 of their dependent children to live in Australia, the minimum income requirement is the total of:

(a) $115,476 (the newstart income cut-off amount of $28,869 multiplied by the total number of individuals giving assurance, persons receiving an assurance, and the partner of the individual giving the assurance of support (in total 4 adults)); and

(b) $8,661 (10% of the newstart income cut-off amount of $28,869 multiplied by the total number of children of both the individual giving the assurance of support, and the persons receiving assurance (in total 3 children)).

This example is based on the rate of newstart allowance as indexed at 1 July 2017, which would apply up to and including 30 June 2018.

 

Income requirement an individual who provides an AoS jointly with another individual/s

 

The combined income for the joint Assurer must be at least the total of the following:

(a) the newstart income cut-off amount multiplied by the total of:

(i) the total number of individuals giving the assurance of support; and

(ii) the total number of adults receiving assurance under an assurance of support given by the individual; and

(iii) the total number of partners of the individuals that are jointly giving the assurance of support; and

(b) 10% of the newstart income cut-off amount multiplied by:

(i) the number of children of the individuals giving the assurance of support; and

(ii) the number of children of any adults receiving assurance under the assurance of support.

Example 1: if two joint assurers (who each have a partner and two children) give an assurance of support for a migrating family of 2 parents and 3 children, the combined minimum required income amount of both assurers is the total of:

(a) $173,214 (the newstart income cut-off amount of $28,869 multiplied by the total number individuals giving the assurance of support, persons receiving an assurance, and the partners of the individuals giving the assurance of support (in total 6 adults)); and

(b) $20,208 (10% of the newstart income cut-off amount of $28,869 multiplied by the total number of dependent children of both the individuals giving the assurance of support, and the persons receiving assurance under the assurance of support (in total 7 children)).

This example is based on the rate of newstart allowance as indexed at 1 July 2017, which would apply up to and including 30 June 2018.

 

 

Value of securities for AoS will (almost) increase by 50% from 1 April 2019

 

Visa PRIOR to 1 April 2019 ON or AFTER 1 April 2019
Contributory Parent and Contributory Aged Parent visa Primary Applicant = $10,000 Primary Applicant = $15,000
Secondary Applicant = $4,000 Secondary Applicant = $6,000
For all other parent and relative visas Primary Applicant = $5,000 Primary Applicant = $7,500
Secondary Applicant = $2,000 Secondary Applicant = $3,000

For full Legislative Instrument on AoS, see HERE.

For DoHA’s information on AoS, see HERE.

You can sign the petition to strike down the new amendment to AoS income requirement by the Federal Parliament HERE.

 
https://www.change.org/p/minister-for-social-service-change-of-assurance-of-support-legislation-of-contributory-parent-visa-petition

If you think this effects or will affect you, inquire with us today!

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