Financial assistance to help with the cost of building local skills in your business
In WA, employers can access a range of financial support from the Federal and State Governments.
Different bodies administer these incentives, and each has its own set of eligibility criteria.
Apprenticeship Support Australia administers the Federal Government’s Australian Apprenticeship incentives and can provide you with information and guidance on accessing the full range of support available.
Federal Government Employer incentives
Up to $15,000
From 1 July 2022, the Australian Apprenticeships Incentive System will provide support through wage subsidies for eligible employers of new and reengaged apprentices and trainees undertaking a qualification in a priority occupation.
Priority occupations are those listed on the Australian Apprenticeships Priority List.
A Hiring Incentive may be available for employers of new and reengaged apprentices and trainees undertaking a qualification in an occupation that does not qualify for the Australian Apprenticeships Priority List.
Up to $15,000
The Priority Wage Subsidy is paid for a maximum of 3 years at the rate of:
10% of wages paid for the first year (up to a maximum of $1500 per quarter), and;
10% of wages paid for the second year (up to a maximum of $1500 per quarter); and;
5% of wages paid for the third year (up to a maximum of $750 per quarter).
Payments are made in arrears, with the first payment payable to eligible employers 3 months after commencement, followed by quarterly payments thereafter.
Up to $3,500
Full-time apprentices will attract $3500, payments will be made in two equal instalments of $1,750, payable at 6 and 12 months from the date of commencement or recommencement with the employer.
Part-time apprentices will attract $1750, Payments will be made in two equal instalments of $875, payable at 6 and 12 months from the date of commencement or recommencement with the employer
Up to approximately $5,400 per year
For employers taking on apprentices and trainees with a disability, employers can access this support instead of the standard Australian Apprenticeships Incentives. There is also additional support for tutorial assistance, mentoring and interpreter assistance.
Federal Government Apprentice incentives
Up to $5,000
The Australian Apprentice Training Support Payment is available to eligible apprentices commencing from 1 July 2022 in Priority Occupations listed on the Australian Apprenticeship Priority List. Up to $5,000 is available to ensure they are supported to complete their training.
Full-time
$1,250 every six months over the first two years of the Australian Apprenticeship (up to $5,000 in total). Direct financial assistance for Australian Apprentices undertaking a Certificate III or higher
qualification in a Priority Occupation on the Australian Apprenticeships Priority List to support them to complete their training.
Note: A period of suspension or cancellation may affect the claim period
Part-time
$625 every six months over the first two years of the Australian Apprenticeship (up to $2500 in total). Direct financial assistance for Australian Apprentices undertaking a Certificate III or higher
qualification in a Priority Occupation on the Australian Apprenticeships Priority List to support them to complete their training.
Note: A period of suspension or cancellation may affect the claim period.
From 1 July 2022 eligible apprentices and trainees have access to loans of up to $22,890 lifetime limit, over four years to assist with the costs of completing an apprenticeship or traineeship.
Paid in monthly instalments in arrears with annual limits of $9,156 in year one; $6,867 in year two; $4,578 in year three; and $2,289 in year four
Repayments of the loan are made through the tax system and start when you are earning a sustainable income. The compulsory repayment threshold for the 2022-23 income year is $48,361.
A 20% discount applies to the loan on successful completion of your apprenticeship or traineeship.
You may be eligible for LAFHA if you have to move away from your parental/ guardian home for the first time to commence or remain in an apprenticeship or traineeship.
WA State Government incentives
Up to $8,500
This incentive is available to employers of new trainees and apprentices.
Like the Federal Government incentives, additional loadings may apply where you hire from a target group, such as:
- Aboriginal Australians
- Aged 21 to 30 years old
- Undertaking State Priority Occupation qualifications
- Living and working in regional WA
You will be able to claim this subsidy if your business is ineligible for payroll tax exemptions or Construction Training Fund grants. And the apprentice must live and work in WA.
Up to 6.5%
In WA, employers are exempt from paying payroll tax on all wages for their trade apprentices under an active approved training contract – including superannuation, allowances and fringe benefits.
In total, the exemption could save you between 5.5 and 6.5 per cent on the payroll tax over the duration of the full apprenticeship — depending on the tiered rate of payroll tax your business is paying.
Other
Up to $25,000
Businesses can access grants and subsidies for employing apprentices and trainees working in WA’s construction industry.
You may be able to access up to $25,000 for apprentices and trainees working in onsite construction, installation or fabrication.
The funding is paid in instalments through the active Training Contract. Like other incentives, additional loadings apply if the apprentice is living and working in regional WA.
The Construction Training Fund and employers administer this can claim through their online portal.
Up to $3,000
For those working towards becoming a Brickie, an additional $3,000 can be attained through a Bricklayers Apprenticeship through the Australian Brick and Block laying Training Foundation.
Up to $10,000
Businesses may be eligible to receive a wage subsidy for employing someone registered with an employment service provider.
The position must be 20+ hours per week and ongoing.
The wage subsidy is available to employers who hire eligible:
- mature-age – 50 years and over
- Aboriginal Australian
- youth – 15 to 29 years old
- principal carer parent
- long-term-unemployed job seekers
