Proof of funds for the Australian parent visa: bonds, costs, and sponsor obligations

The two parent visa pathways and their costs

Australia offers two main pathways for parents: the standard (non-contributory) parent visa and the contributory parent visa. The financial difference between them is dramatic.

The standard Parent visa (subclass 103) costs AUD 8,665 in total, over two instalments — AUD 6,600 first, then AUD 2,065 (Department of Home Affairs). It is substantially cheaper than the contributory pathway, but Home Affairs' queue-release page (as at 31 May 2026) estimates about 33 years to a decision for a new application. The low cost reflects the fact that the government limits the number of these visas granted each year to a small fraction of the total parent visa allocation.

The Contributory Parent visa (subclass 143) has a first VAC of AUD 6,300, plus a second VAC instalment of AUD 43,600 payable when the department is ready to grant the visa (Department of Home Affairs). These are the charges in force from 1 July 2026. This second instalment is the main cost difference. For two parents applying together, the second instalment alone totals AUD 87,200.

A two-stage option exists through the Contributory Parent (Temporary) visa (subclass 173), which allows the cost to be spread over time. The first VAC for the 173 is AUD 4,245, and a second instalment of AUD 29,130 is payable before the temporary visa is granted. The visa holder can then apply for the permanent subclass 143 at the concessional 173-holder rate — AUD 555, plus a further second instalment of AUD 19,420. That totals about AUD 53,350 against AUD 49,900 for going straight to the 143, so the staged route costs a few thousand dollars more in exchange for spreading the payments. These are the charges in force from 1 July 2026 (Migration Regulations 1994, Schedule 1, items 1221 and 1130).

The Assurance of Support explained

Beyond the visa application charges, the sponsor must provide an Assurance of Support (AoS) — a formal undertaking to repay the Australian Government for any recoverable social services payments made to the visa holder during a specified period (Services Australia).

The AoS requires the sponsor to lodge a bond with Services Australia. The bond amount for the primary applicant, and the additional amount for each further adult applicant in the AoS, are set by the Social Security (Assurances of Support) Determination 2018 and published by Services Australia on its Assurance of Support page — check the current figures there before budgeting, since the higher, mandatory bond that applies to the contributory parent visas is set separately from the discretionary one for the non-contributory visas.

The bond is held for the AoS period Services Australia sets for the visa. If no recoverable social services payments are made to the visa holder during that period, the full bond is returned to the sponsor at the end of the period, plus any accrued interest. If the visa holder does access recoverable payments, the government deducts those amounts from the bond, and the sponsor is liable for any amounts exceeding the bond.

Recoverable payments covered by the AoS include certain Centrelink payments such as JobSeeker Payment and other income support payments, though not the Age Pension. Medicare and pharmaceutical benefits are generally not recoverable under the AoS.

Who can be an assurer and what they must demonstrate

The assurer (typically the sponsoring child) must demonstrate they have sufficient income and assets to support the parent without the parent needing to access social services. Services Australia assesses the assurer's financial capacity separately from the Department of Home Affairs visa process.

To be approved as an assurer, you must be an Australian citizen, permanent resident, or eligible New Zealand citizen, be at least 18 years old, have adequate income and assets to support the visa applicant, not be currently receiving certain social security payments yourself, and not have any outstanding AoS debts from previous assurances.

The income test for the AoS is assessed by Services Australia based on the assurer's taxable income. The threshold is reviewed periodically and depends on the number of people covered by the assurance and the assurer's family size. If the primary assurer does not meet the income threshold alone, a joint assurer (another family member or the parent's other child in Australia) can share the obligation.

Services Australia publishes the current income thresholds and application process on its website. The assessment is separate from and in addition to the visa sponsorship assessment conducted by the Department of Home Affairs.

Total cost breakdown for bringing a parent to Australia

Putting the government charges together, here is what a contributory parent visa costs for a single parent, current as at 1 July 2026.

The first VAC instalment is AUD 6,300. The second VAC instalment is AUD 43,600 per adult applicant. That's AUD 49,900 in visa application charges for one parent, before any other costs. On top of that comes the Assurance of Support bond (refundable at the end of the AoS period, if no debts are raised — Services Australia sets the amount), health examinations (paid to the examining clinic, cost varies by clinic and tests), police clearance certificates (varies by country), and, if you engage one, a migration agent's fee, which has no fixed or published rate — under the Code of Conduct the agent must set it out in a written service agreement before it's payable.

For two parents applying together on the direct 143, the first instalment is AUD 6,300 plus AUD 2,125 for the second adult (AUD 8,425), and the second instalment is AUD 43,600 for each adult (AUD 87,200) — a government-charge total of AUD 95,625, not simply double the single-applicant figure, plus a larger Assurance of Support bond for the second adult.

These figures make the parent visa one of the most expensive family reunification pathways in any developed country. The visa charges are set by legislation and regulation, and there is limited scope for reducing them. Fee waivers are not available for parent visa application charges.

Timing of payments

The costs do not fall due all at once, which provides some planning runway.

The first VAC instalment is payable when the visa application is lodged. Home Affairs estimates about 15 years from lodgement to decision for new Contributory Parent applications (as at 31 May 2026), so there is a long gap between this payment and the second instalment.

The second VAC instalment is requested by the department when the application has been assessed and is ready for a decision. If payment is not made within the timeframe the department sets, the application may be refused.

The Assurance of Support bond is lodged with Services Australia after the department has invited the sponsor to arrange it, which typically happens during the later stages of processing. The bond must be lodged and the AoS approved before the visa can be granted.

This staging means sponsors typically have many years between the initial application costs and the second instalment and bond. Using that time to save for the second instalment is a common strategy.

Health insurance and Medicare access

Parent visa holders granted the subclass 143 are permanent residents and therefore eligible for Medicare. However, there may be a processing gap between arrival (if the parent arrives on a bridging visa or temporary visa) and the grant of the permanent visa during which Medicare eligibility is uncertain.

Parents arriving on the temporary subclass 173 pathway are not immediately eligible for Medicare and must maintain private health insurance. Insurers price cover for older applicants higher than for younger migrants, reflecting age and any pre-existing conditions — get a current quote for the specific cover level and age bracket rather than assuming a figure.

Once Medicare-eligible, parent visa holders may still benefit from private health insurance to avoid the Medicare Levy Surcharge (if their income exceeds the threshold) and to access services not covered by Medicare (dental, optical, private hospital rooms).

The four-year waiting period for social services

Parent visa holders are subject to the Newly Arrived Resident's Waiting Period (NARWP), which restricts access to most income support for four years from the date of visa grant, on top of whatever Assurance of Support period Services Australia sets for the visa (Services Australia). This means the parent may have limited access to government financial support for a significant period after arriving.

The four-year wait applies to JobSeeker Payment, Youth Allowance, Austudy, Special Benefit, Carer Payment and the Disability Support Pension. Parenting Payment carries a shorter, two-year wait. Family Tax Benefit Part A has a one-year wait. Family Tax Benefit Part B, Child Care Subsidy and Medicare have no waiting period at all (DSS payment guides).

This waiting period makes the sponsor's financial capacity particularly important. The parent will rely on the sponsor (and their own resources, if any) for financial support during the NARWP period. For a detailed explanation of waiting periods and exemptions, see the guide on Centrelink waiting periods for new migrants.

Planning the financial commitment

Given the scale of the costs, financial planning for a parent visa typically starts years before the application is lodged. Sponsors should consider the total cost across both VAC instalments, the bond, and ongoing support, the timeline — Home Affairs' estimate of about 15 years for a new subclass 143 application means the second instalment falls due only once the application nears the front of the queue — the ongoing financial responsibility for the parent during the AoS period, and health insurance costs for the parent, particularly if they are older or have pre-existing conditions.

Some sponsors save specifically for the second instalment during the processing period. Others use the temporary subclass 173 pathway to spread payments over a longer period, accepting the slightly higher total cost in exchange for more manageable instalments.

Consulting a registered migration agent and a financial adviser before committing to a parent visa application is strongly recommended, given the financial scale and the multi-year obligations involved.

Once the visa is lodged: moving the money

Proof of funds shows the money exists on a date. Moving it is a separate step with its own clock: a specialist provider will ask for source-of-funds evidence on a large amount (the same sale contract or savings statements you gathered for the visa), a forward contract can fix the exchange rate for a settlement or arrival date up to 12 months out, and your bank reports every international electronic transfer to AUSTRAC automatically at any amount — there is no AUD 10,000 threshold for wires and nothing for you to file. The large-transfer guide covers the mechanics; the tax-implications guide covers what changes if the money lands before or after you become an Australian tax resident.

Is the Assurance of Support bond refundable?

Yes. The bond is held for the AoS period Services Australia sets for the visa, and if no recoverable social services payments are made to the visa holder during that period, the full bond plus accrued interest is returned to the assurer. If recoverable payments are made, those amounts are deducted from the bond before any refund.

Can the parent work in Australia to support themselves?

Yes. Both the temporary subclass 173 and permanent subclass 143 include work rights. The parent can seek employment in Australia, though age and language barriers may affect employment prospects. Any income the parent earns reduces their potential need for social services and eases the financial burden on the sponsor.

What happens if the sponsor cannot pay the second VAC instalment?

If the sponsor cannot pay the second instalment when requested, the visa application may be refused. The first instalment is not refundable. This risk makes it critical to plan for the second instalment well in advance, including allowing for the possibility that processing may be faster than expected.

Can two children share the sponsorship and AoS costs?

The visa sponsorship can only be held by one person, but the Assurance of Support can include a joint assurer. This means two siblings can share the AoS obligation and bond, though the visa application charges (first and second instalments) must still be paid in full regardless of how many children contribute.

Are there any concessions for low-income sponsors?

There are no fee concessions or waivers for parent visa application charges. The AoS income test must be met by the assurer (or joint assurers), and if neither meets the threshold, the AoS will not be approved and the visa cannot be granted.