A TFN and an Australian bank account are among the first procedures new migrants need to complete to stabilize their finances and start working. Understanding them helps you do it correctly and promptly. This article explains the TFN and Australian bank accounts.
TFN and Australian bank accounts: what is a TFN
A TFN (Tax File Number) is a personal tax number in Australia, necessary for working legally. It is one of the most important procedures upon arrival, since without a TFN, workers may have tax withheld at a much higher rate than normal when they are paid.
New migrants with the right to work should apply for a TFN early, usually after they have an address in Australia. A TFN is applied for through the tax authority (ATO). Once obtained, workers provide their TFN to their employer and bank. The TFN must be kept secure and not shared carelessly, to avoid risk.
Bank account
Besides the TFN, opening an Australian bank account is another important procedure; both (the TFN and an Australian bank account) are foundational. A bank account is necessary to receive pay, make payments, and manage daily living. Many banks allow new migrants to open an account, with some even allowing it before arrival, usually requiring a passport and visa documents.
Opening an account early helps new migrants be ready to receive pay and manage their finances. Once you have a TFN and an Australian bank account, you can start working and be paid correctly. These are two foundational procedures that should be prioritized in the initial period after arrival.
Preparing your TFN and bank account
To prepare, new migrants should: apply for a TFN early once they have an address (through the ATO), open a bank account early (possibly before arrival), provide their TFN to their employer and bank, and keep their TFN secure. Completing these two procedures early helps stabilize finances and start work smoothly.
You should refer to TFN information from the ATO and the Australian government information portal to learn about the TFN and opening a bank account.
Summary
A TFN and an Australian bank account are two foundational procedures for newcomers. The TFN (tax number) is needed to work legally — without it, tax is withheld at a higher rate — and is applied for through the ATO once you have an address. A bank account is needed to receive pay and can be opened early with a passport and visa. You should apply for a TFN and open an account early, and keep your TFN secure.
