How to Get from Eh to Oz: Understanding Money Matters, Banking, Student Loans
When you’re getting ready to study in Australia, it’s common to think of the major stuff like getting your student visa, arranging flights, and acquiring accommodation, but there are a few things that sometimes get missed. The “From Eh to Oz” team wants to help you ensure you can pay for your schooling and living and that you have a heads up about everything involved when studying internationally, including finances!
Today, we will discuss a few main points:
- CIBC Contest
- Cost of Living
- Transferring Your Money
- Banking in Australia
- Tax File Number
CIBC and the Student Life Network Full Ride Contest
Who would skip out on the opportunity to win $35,000 for tuition? Not you. Check out the Student Life Network Full Ride Contest is open to all Canadians. You have an opportunity to win $35,000 for tuition. You simply need to get a new CIBC student bank account, credit card, or line of credit and join the Student Life Network to enter. You must complete this by December 31, 2019 to be eligible.
Cost of Living in Australia
The average international student in Australia spends approximately $25,000 AUD per year on living expenses. This figure really depends on the city in which you live, whether you live on campus, just off campus or in a less expensive suburb near your university, and how frugal or reckless you are with your cash! Check out the Cost of Living comparison tool to get a better idea.
Transferring Your Money
Throughout your studies, you are likely going to need to get money to Australia to pay your tuition fees and living expenses. In general, a wire transfer (called a telegraphic transfer in Australia) is the most effective way to do this. There are a few options of which you should be aware. Paying attention to rates can save you thousands of dollars (in some cases over ten thousand dollars) over the course of your full degree.
Have a look at Cohort Go, an Australian company specializing in international student services. The company is incredibly responsive, and our students are treated well—as they should be! Cohort Go allows students to make tuition payments in their local currency and convert their AUD tuition fees at a significantly lower foreign exchange rate while eliminating extra international money transfer fees from the equation.
As well, many OzTREKK students have suggested using TransferWise. The choice is yours!
OzTREKK students usually use a combination of professional student lines of credit, Canadian student loans, and personal / family savings to fund their studies. Canadian students who study outside Canada are eligible for loans provided by the federal government through the Canada Student Loans Program, in addition to loans provided by their province of residence. Provincially, students from Ontario can received $10,000, while BC students can receive $20,000, and Alberta students can receive $30,000. Please note that these are approximate amounts and your student loan will be release after your program has commenced. You’ll find more loans information on the OzTREKK Boarding Pass!
Banking in Australia
Many OzTREKK students recommend you open a bank account before you leave for Australia as securing accommodation is often much easier when you have an Australian bank account!
Some Australian banks allow international students open an account online from overseas up to three months before you arrive—and many OzTREKK students recommend doing this. When you arrive in Australia, the bank will require you to show proof of identification in person at a bank branch.
- Your letter from the bank after you’ve opened the account
- Your passport
- Your student ID or proof of enrollment
- Australian cell phone number if you have one
Australia’s major national banks include
- ANZ Bank: www.anz.com.au/personal/bank-accounts/moving-to-australia/en/
- Commonwealth Bank of Australia: www.commbank.com.au/
- National Australia Bank: www.nab.com.au/
- Westpac Bank: www.westpac.com.au/
OzTREKK also recommends that you have a Canadian credit card with a reasonable maximum limit to take with you to Australia. It is not the best option for exchanging money from CAD to AUD and paying for things in Australia, but it may be helpful for emergencies and when you first arrive in Australia while you are setting up an Australian bank account.
#OzTREKKTip: Find out which bank has a branch on your university campus!
Tax File Number (TFN)
A Tax File Number reduces the tax rate you need to pay, and is required if you plan to work in Australia and for lodging tax returns. International students who are enrolled in a course that is longer than 6 months are considered residents for tax purposes.
Organizations such as banks, financial institutions and employers are entitled to ask for your TFN. For more information and to apply, go to the Australian Taxation Office (ATO) website.
It may be necessary for you to file a tax return with the Canadian government for the year(s) you were studying in Australia. Visit the Canada Revenue Agency for more information.