Australian Student Visa Financial Requirements

9 min read

The success of the Australian Student visa (Subclass 500) getting approved is highly dependent on fulfilling the financial requirements. It is the most crucial step while applying for a student visa. As an international student, this can be a bit overwhelming to arrange the appropriate documents because this is very sensitive and at times complicated. However, Australian Student Visa Financial Requirements are like any other visa application requirement and if you do enough research this may not be much of a problem for you. 

In this article, we will try to answer all the possible questions that you might have regarding Financial requirements for Australian Visa so that you can prepare your application process at the earliest. 

How to show funds for Australian Student Visa?

As an international student, you need to provide enough evidence of funding that can cover your course fee, living cost, travel cost, and if applicable living and travel cost of your spouse or dependent. You have to ensure this flow of funds throughout the time of your study. 

There are 2 options for you to show your Australian student visa financial requirements:

Option 1: You can provide evidence of funds that can cover your course fee, travel, and living expenses for 12 months. This includes the expenses of your accompanying family members as well. 

Option 2: Show evidence of your annual income which meets the requirements set by the Government of Australia to be eligible for a student visa. This can be either the income of your parents or spouse.

There are few acceptable ways in which you can show your financial evidence for the Australian Student visa. 

• Deposit of money from a financial institution (Bank Balance)

• Loans from a financial institution 

• Government loan

• Any private or government scholarship / other financial support

What is the total funds required for Australian student visa?

The total fund required for Australian Student visa mostly depends on the course fee if you go for Option 1. For Option 2 there is a fixed amount of income that you have to show as proof of financial security.

Australian student visa financial requirements for Option 1: 12 months Fund 

The living cost for a single student for 12 months is AUD$21,041. For a spouse/dependent an additional AUD$7362 has to be provided. If the dependent is under 18 the additional amount is AUD$3152.

If in your student visa application you have added school-aged children to be accompanying you, then the cost of school is also added to your Australian visa financial requirements. The cost can vary from state to state but it is approximated as AUD$8000 per year. 

In addition to these, AUD$2000 is required as your travel expenses and your course fee for a year which can range from AUD$20,000 - AUD$50,000 depending on your university.

Australian student visa financial requirements for Option 2: Annual Income

In this case, you have to show an annual income of at least AUD$60,000 of your own or your parents’. The income of your spouse is also considered here. Here, the parents or spouse who is sponsoring must not travel with the student. 

For any dependent traveling with the student, AUD$70,000 has to be shown as proof of annual income. 

How to Calculate funds for Australian Student Visa? 

The total fund required for your student visa can be easily calculated if you know the cost breakdowns. Whether you go for a 1 year course or 3 years, your proof of funds for Australian student visa must cover 12 months of your study initially. 

Your documentation needs to be solid and authentic to ensure the Australian government that you have enough financial resources or steady income in order to cover your living expenses and course fees after 12 months. 

The easiest way to calculate the fund is by adding up all the expenses. 

For a single student - 

Here, the course fee and Health insurance fee will depend on your educational institution. Living costs and travel expenses are fixed by the Australian government, which means this is the minimum amount you have to demonstrate to fulfill your financial requirements for Australian Student visa.

For Students with spouse/children -

If you are going to apply with the financial proof of yearly income, it is advised to demonstrate a yearly income of AUD$62,000 for a single student and AUD$72,000 if you are dependent to be on the safe side. However, this may vary from country to country and is frequently updated by the Australian Home Affairs office. 

Also please remember there is a visa application fee, which is AUD$630 for Subclass 500 and an additional AUD$470 for any dependent. 

What are the acceptable sources of funds for Australian Student Visa?

The Department of Immigration usually looks for evidence that you have genuine access to the funds available to you to support your study and stay in Australia. 

Below is the list of all the financial documents that are acceptable while applying for Subclass 500. It is not necessary to show all of them but a combination of one or more is sufficient. All these sources can be considered as proof of funds for Australian student visa.

Bank Statement: If you are self-funding and your annual income meets the requirement of AUD$62,000, then you have to show the bank statement of your personal account for at least a year. If your parents or spouse is sponsoring you then the bank statement should be of their saving accounts. 

It should be a scanned copy of the statements, duly signed and stamped by the bank. The bank statement for Australian student visa should clearly specify the tenures required. In this case, it is one year.

Loan Approval or Disbursement Letter: If you have applied for a loan to support your study in Australia then get a loan approval letter from your bank as your proof of funds. The amount of the loan and your name must be clearly written on the letter along with official stamps and signatures. 

Please keep in mind you can only take out loans by your name, or by your parents, or by your spouse. No other family member can apply for a loan to support your education. Business loans are not acceptable in the application for a student visa.

Scholarship: If you have received any fully funded scholarship offer which covers your study in Australia, you can show it as proof of funds. However, in Australia, the case is very rare and applicable only in terms of Doctorate programs. 

However, if your education provider offers you a scholarship that covers your study, you still need to show an appropriate amount of funds to cover your living and travel expenses. 

In case you have received Government scholarships/grants the process is the same. You have to submit a copy of that scholarship as evidence that it supports your study. 

There are 6 approved scholarships/funding arrangements that are acceptable as proof of funds. They are -

• Scholarship from education provider in Australia

• The Australian Commonwealth Government Scholarship 

• Scholarship by the Government of a state of Australia 

• Scholarship by the national Government of the home country 

• Scholarship by any organization that operates across several countries. For example, the United Nations.

• Any foreign scholarship supported by local government

In some particular cases, Corporate scholarships are also accepted as proof of funds for Australian student visas. But in this case, your course of study should be consistent with the role you played in the corporation. 

If you are a government employee then you have to demonstrate that your course of study is a need within the corporation and requires you to study this particular subject. 

Property Evaluation Report: In case you have applied for a student loan against property, you have to provide a property evaluation report as well. The report is prepared by the bank or financial institution that has approved your loan. 

The report should include property pictures, specifications, and proof of ownership. 

Who can show funds for student visa in Australia?

As an international student to apply for a subclass 500 visa, you have 3 options as your sponsor. This means only these 3 people are allowed to show funds to prove your financial capability in Australia. 

• The students himself 

• Parents ( both father and mother combined or individually)

• Spouse 

If your parents or spouse is sponsoring you, then there are some conditions-

• You have to provide evidence of your relationship with them 

• Provide their identity documents 

• Evidence of any financial support that they have given you in the past 

• Evidence of financial support that they have given to any other student in the past (For example, your siblings)

• If your sponsor is involved in the business then you have to provide evidence that the business is operating with appropriate documents. This may include, Trade License, Business bank statements, Tax return documents, Partnership agreements, and any other evidence to support the sponsorship. 

• If the sponsor is a job holder, payslip and tax return papers need to be submitted.

Please remember no other relatives or friends are eligible as your sponsor. Though it may vary from country to country usually it is advised that your immediate family is your sponsor. 

In the end, you have to ensure that you have enough financial capacity to carry out your study and stay in Australia uninterrupted. Australia is very strict when it comes to financial transparency. As long as you have genuine access to all the funds available to you, there will be no complications in processing your visa. 

Always provide genuine documents to clarify your source of funds. Lastly, keep in mind who can sponsor you and who cannot and provide evidence of your relationship with them. It is not enough just to show a bank balance just for the sake of application. The Department of Immigration investigates thoroughly to see if you can access those balances if necessary. 

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