What are the expenses involved with moving to Australia for work?

If you are seriously weighing up whether to relocate to Australia for work, then you are about to make a life-changing decision, either way.

But if you decide to move Down Under, it can lead to new experiences, lifestyle changes, possible romances, and the potential for career advancement.

With cities like Sydney, Melbourne and Brisbane offering thriving job markets, it's easy to see why so many skilled workers from abroad come to “The Lucky Country”.

But while you might see a bright future ahead, your immediate present will feature a number of upfront and ongoing expenses that you may not be aware of. Therefore, it's good to familiarise yourself with what they might be. 

If you are planning to move to Australia for work, this guide will help you understand what costs you might face to make it happen.

1. Visa and Immigration Fees

The first big upfront cost you’ll encounter is your visa. Australia offers several work-related visas, such as the Temporary Skill Shortage (TSS) visa, Employer Sponsored visa, and Skilled Independent visa, which allow you to engage in paid employment for a specific length of time. 

Depending on the subclass and whether you apply independently or through a migration agent, the application fees can range from anywhere between $1,455 to over $4,000.

On top of government processing charges, you might also need to pay for English proficiency tests like IELTS, health checks, police certificates, and professional legal advice (if you’re working with a registered migration agent).

These costs add up quickly and should be factored into your relocation budget well in advance.

2. Flights and Travel Costs

Once your visa is granted, your next major expense is getting to Australia. The cost of flights will vary depending on where you are coming from. For instance, a one-way ticket from New Zealand may cost under $500, while a long-haul flight from the UK or North America can easily exceed $2000. Be aware that the prices can fluctuate depending on the season and how early you book.

It’s also important to budget for checked luggage or excess baggage fees, especially if you're bringing work equipment or extra belongings. Don’t forget to include travel insurance and airport transfers when you arrive in the country, particularly if you will initially be staying a long distance from the city where you land.

3. Short-Term Accommodation and Rental Bonds

Unless you are lucky enough to be staying with family or friends, you will need to find accommodation when you arrive in Australia. This could either take the form of a short-term Airbnb, a serviced apartment or a pre-arranged long-term rental agreement.

The latter, in particular, will most likely require payment via direct debit. So, it would be worth setting yourself up with a bank account as soon as you arrive.

Australia has four “big banks”, of which Westpac is one. They provide dedicated banking services for new arrivals in the country, including migrant banking specialists and various international and domestic account opening options.

When you do find a rental property, be prepared to pay a bond equal to four weeks’ rent, plus two weeks’ rent in advance. This means if your new place costs $600 per week, you’ll need to fork out $3,600 upfront. You’ll also need to consider whether the home is furnished or unfurnished, as this may add more dollars to your initial relocation set-up costs.

4. Health Insurance and Medicare Eligibility

Australia has a public health system called Medicare, but eligibility for it will depend on your visa type. If you’re on a temporary work visa, you’re unlikely to qualify immediately and may need to take out Overseas Visitors Health Cover (OVHC) as a condition of your visa. Monthly premiums for this will depend on the coverage you take out, but they might range from $100 to $300+ per person.

Even if you are eventually eligible for Medicare, some services, such as dental, physiotherapy, or ambulance transport, aren’t fully covered. Therefore, it is highly recommended that you take out private health insurance to avoid out-of-pocket expenses in an emergency. If you don’t do this, medical treatment or an operation in a hospital can cost thousands.

5. Cost of Living

The cost of living in Australia is pretty high right now (although possibly not in comparison to what you are used to).

That said, it also varies greatly depending on the city you move to. Sydney and Melbourne are known for having very high housing and grocery prices, while regional towns or smaller cities like Adelaide and Hobart are a little bit more affordable. (However, they may have fewer job openings).

On average, you can expect to spend around $500 to $750 per week on rent for a two-bedroom apartment in a major city. Additionally, groceries can cost at least $100 to $150 per week per person.

Petrol, public transport, and utility bills like electricity and gas will also need to be accounted for. So, you would be well advised to set aside money in your weekly budget for them.

6. Ongoing and Unexpected Expenses

Beyond the essentials, you’ll face a variety of additional costs when you move to Australia for work, some of which are easy to overlook.

For instance, if you're moving with kids, the cost of childcare or private school fees can be significant. Additionally, if you are planning to bring Fido over with you, then you’ll have to account for pet quarantine and separate flight expenses.

Depending on what work you will be doing, some professions also require you to convert your licence over to Australian standards or even demand you to take part in training, exams or pay registration fees.

It might also be worth taking out life or health insurances that will financially protect your loved ones in case you pass away or are unable to work for a lengthy period of time.

Additionally, if you are driving, then you will need to pay for buying a car, as well as your insurance and registration, ongoing charging/fuelling and maintenance costs.