Setting up your finances

When you come to study in Australia, we recommend that you open a local bank account. This will help you pay for goods and services and transfer funds to other accounts here without international fees and charges. Also, you’ll need to get an Australian Tax File Number (TFN). If you’re studying here for six months or more, you’re generally required to pay tax on earnings from work and interest earned from banks.

• You can open a bank account online from overseas. If you haven’t done so already, you should open an account as soon as you arrive in Australia. (Australia Awards Scholarship students don’t need to do this because a bank account will be opened on your behalf.)The larger retail banks in Australia are:Branches of these banks may be on or near your campus.Banks are one of the safest places to keep your money. Other financial institutions, including credit unions, building societies, finance companies, life insurance companies and merchant banks are also popular and provide services similar to those of the larger retail banks.Opening hoursOpening hours of most banks are usually:Some banks are also open for a few hours on Saturday morning. Most banks are closed on weekends and public holidays.Daily withdrawal limitBanks place a daily limit on the amount you can withdraw or spend electronically (via ATM or EFTPOS transactions). To change this limit, you can contact your bank. Or you can apply online or via the bank’s app.How to open a bank accountFind out what type of account best meets your needs. To open an account, you’ll need to provide your passport and one other form of personal identification, such as your:Check with your bank about their requirements for personal identification documents.Bank fees and tax on interestBanks generally charge fees for various services and account transactions. However, many banks don’t charge fees to full-time students. So you should ask the bank about this before you open an account. If the bank waives these fees, you may need to provide proof of your full-time enrolment each year.All interest earned on savings in Australian banks is subject to tax by the Australian Government. You should give the bank a Tax File Number (TFN) shortly after opening an account. Otherwise, the bank is required by law to deduct tax from any interest earned above a certain threshold.
• Living on a student income can be a challenge, especially if it’s the first time you’ve lived away from home. Make a practical budget so that you have enough money to concentrate on your studies and enjoy Melbourne. Go to living expenses and budgeting for details.
• During your time in Australia, you’ll need a tax file number (TFN). A TFN is a lifelong personal reference number and an important form of identification here. You’ll need your TFN when:If you’ve never had an Australian TFN, you can apply for your TFN online. There’s no charge for getting a TFN.Make sure you keep your TFN secure to protect yourself from identity fraud. Only disclose it to your bank, employer, superannuation fund and university – organisations that require it for legitimate reasons.
• If you’re enrolled to study in Australia in a course that lasts for six months or more, you’re generally considered an Australian resident for tax purposes. This means that you’re required to pay tax on earnings from work and interest earned from banks.If you’re here for six months or more and you intend to work, make sure to give your employer a completed tax file number declaration form from the Australian Tax Office (ATO). To get this form:At the end of the financial year (30 June), you’ll receive an income statement or payment summary from each employer. You’ll need this to complete your tax return.If you need help with your tax return, you can get free and confidential advice from: