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UK migrants top wages in Australia

14 September 2015 by News Desk

finance_cashMigrants from UK earn more money and pay more tax in Australia followed by migrants from India, China, South Africa and the Philippines.

Migrants from these five countries generated $21.3 billion in income and accounted for over half of all migrants who lodged a tax return, according to latest available figures from the Australian Bureau of Statistics.

Migrants born in the UK recorded the most total income at $8.8 billion (23%) in 2010. Most of this income was Employee income ($7.9 billion). UK migrants also reported the highest proportions of Other income (51%), Own unincorporated business income (26%) and Investment income (29%).

Migrants born in India were the second largest income contributors. They reported 14% of total income ($5.3 billion), $5.0 billion in Employee income and $241.9 million of Own unincorporated business income (13%).

Migrants from South Africa comprised only 5% of all migrant taxpayers but received $2.8 billion in total income. They also reported the second highest proportion of Investment income ($127.1 million) and Other income ($36.0 million).

Migrants born in China received $2.7 billion in total income with $2.5 billion of this amount Employee income (7.2%). Migrants born in the Philippines earned Employee income of $1.7 billion.

The highest median Employee incomes were generated by Skilled stream migrants from the UK ($55,792), South Africa ($55,587) and Zimbabwe ($53,295).

The 2011 Australian Census of Population and Housing showed that the majority of migrants born in these countries spoke English only at home or spoke English very well or well, indicating that higher levels of English proficiency contributes to higher levels of employee income for recent migrants. There is strong evidence that migrants with poor proficiency in the main language of the host country face a significant gap in earnings compared with those who are proficient



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