A new analysis by the Regional Australia Institute (RAI) has found that workers across more than 80 occupations can earn a higher net income by living in regional, rural, or remote Australia – challenging the long-held belief that major cities offer the best earning potential.
The Beyond City Limits: Unveiling Income Premiums in Regional Australia report compares earnings across different locations using Census and Australian Taxation Office (ATO) data, covering 80 per cent of the workforce and accounting for housing costs.
Where Are the Biggest Earnings Boosts?
The report found a significant income premium for workers in many professions outside of metropolitan areas:
- Remote & Very Remote Areas: Six out of eight major occupation groups earn more, including Professionals, Technicians & Trades Workers, Community & Personal Service Workers, Clerical & Administrative Workers, Machinery Operators & Drivers, and Labourers.
- Inner & Outer Regional Areas: Four major occupation groups see an income boost, including Technicians & Trades Workers, Community & Personal Service Workers, Machinery Operators & Drivers, and Labourers.
Additionally, over 80 individual occupations enjoy higher net incomes across all regional categories, including:
- Executives & Professionals – Chief Executives, Electrical Engineers, Special Education Teachers, Counsellors, General Practitioners
- Trades & Skilled Workers – Electricians, Motor Mechanics, Butchers, Bakers, Plasterers
- Essential & Community Services – Ambulance Officers, Paramedics, Aged & Disabled Carers, Child Carers
- Transport & Retail – Truck Drivers, Retail Supervisors, Chefs, Domestic Cleaners.
“More Money in the Pockets of Hardworking Australians”
RAI CEO Liz Ritchie says the findings highlight major opportunities – not just for regional communities, but for the entire national workforce.
“This report busts the long-held myth that you have to live in a major city to earn a high income,” Ms Ritchie said.
“The truth is, there are high regional incomes available in many occupations for those who look beyond metropolitan boundaries – which means more money in the pockets of hardworking Australians.”
Australia’s regions continue to face labour shortages, with over 67,000 job vacancies advertised online in January 2024 – a figure 62.7% higher than the five-year pre-COVID average.
“We need more people to know about the career opportunities in regional Australia,” Ms Ritchie said.
“There are plenty of good jobs with great salaries, plus the added benefits of affordable housing, less traffic, and a better work-life balance.”
How Do Regional Salaries Compare?
Even after controlling for factors like age, gender, education, industry, and occupation, the report found that compared to major cities:
- Net incomes are 13.6% higher in Very Remote Australia
- 12.8% higher in Remote Australia
- Comparable in Outer Regional Australia
- 2.4% lower in Inner Regional Australia.
New Online Tool to Track Regional Job Trends
To support job seekers and policymakers, the RAI has also launched an interactive online tool providing real-time, location-specific insights into regional labour markets.
The Regional Jobs Guide offers data on:
- Number of jobs advertised online
- Job vacancies as a proportion of total employment
- Labour force participation rate
- Unemployment rate
- A unique Regional Indicator of Stable Employment.
Ms Ritchie said the tool would help bridge the information gap between city and regional job markets.
“Region-specific data is vitally important to job seekers considering a move and to policymakers shaping regional employment programs,” she said.
“The Regional Indicator of Stable Employment will provide a clearer picture of labour market efficiency and stability, ensuring we can better respond to employment challenges across regional Australia.”
With high wages, strong job demand, and an enviable lifestyle, regional Australia is fast becoming the smart choice for career-driven Australians.
