24 Mar 2020

Is it possible to start a professional career without being thousands of dollars in debt?

Sure is.

When you undertake an apprenticeship or traineeship, you’re completing all of your training and study to become fully qualified, at the same time as working (which you’ll get paid for). That means that you’ll be able to get a nationally recognised qualification, without a bank account in the negative.

Basically, Australian Apprenticeships are a cost effective way to gain a qualification, work experience and get paid at the same time; a triple threat. On top of that, financial support is also available and with apprenticeships/traineeships available in over 500 jobs – there’s bound to be something for you.

How much does an apprenticeship or traineeship cost?

Every apprenticeship is different, however, there are a few consistent things you can expect to be spending your cash on so you can get yourself prepared.

For starters, there will probably be a tuition fee to be paid to your training provider. Whether you’re studying in the evenings after work or you have a dedicated day for it during the week – whoever is teaching you needs to get paid somehow. Sometimes, your employer will pay the training fees, or they may take it out of your pay, but this is something you’ll have to speak to them about and reach an agreement. Don’t stress, it’ll get sorted up front so you’ll go into your apprenticeship knowing exactly what’s going on.

If you’re still at school, the government may subsidise the costs of your training, so you won’t have to pay a thing – but it’s a safe bet to check with your training provider just in case.

On top of that, you might have textbooks and equipment to buy for your study, tools and uniforms to purchase for work and travel costs to cover.

Can I get any financial help?

All of the costs above can make starting an apprenticeship or traineeship sound kinda scary, but there are a bunch of initiatives that the government has put in place to try and help you get your career up and running.

Firstly, if you’re studying at an approved Vocational Education and Training (VET) organisation, you may be able to put all of the tuition fees onto a VET Student Loan – meaning you won’t have to start paying it off until you’re earning a bit more.

If you’re aged between 16 and 24 you could be eligible for Youth Allowance through Centrelink, and if you’re over 25 then you should check out Austudy to see how much financial assistance you’re able to receive. Similarly, ABSTUDY is for Australian Apprentices who are Indigenous Australians who have reached the minimum school leaving age.

If you’ve gotta move outta home to do your apprenticeship, then you could be eligible for the Living Away From Home Allowance to help you pay for things like rent, groceries, and dodgy second hand vacuum cleaners.

On top of all that, there are Trade Support Loans which are monthly loan installments over the life of your Australian Apprenticeship up to a maximum of $20,000.

The main thing is, you don’t need to go it alone when it comes to supporting yourself through your apprenticeship or traineeship. Do your research into what financial help you’re eligible for; a good place to start is over here.

VERTO has a tonne of helpful info on getting started, school based apprenticeships, wages as well as tips and FAQ’s so it’s worth checking out.

Should I save money before I start one?

That’s entirely up to you!

It’s worth looking into your specific apprenticeship or traineeship to see if you can put it all onto a VET Student Loan, and what financial assistance you’ll be eligible to receive throughout it.

Remember, you’ll also be earning money while you work – and while the wages might not be anything worth jumping up and down about, it should be enough to get you by.

That being said, if you plan on travelling in your time off, or buying an expensive car, or going to every festival humanly possible throughout the summer, then you might wanna think about getting some sort of savings going before you begin – otherwise, your budget will be a little tight.

Do a bit of research before you sign up, and make sure you have some sort of idea of what your finances are going to look like for the years it takes you to complete your apprenticeship or traineeship.

How much will I earn during my apprenticeship/traineeship?

Usually, your wage will be based off an award that acknowledges the cost of your training and the value of the work you do. You’ll have the same rights to things like superannuation and workers’ compensation as any other worker in Australia. And let’s not forget about the fact that you won’t have a huge HECS debt hanging over you for years to come thanks to being able to jump straight into work.

Keen to start an apprenticeship or traineeship?

If you’re based in NSW and thinking about starting an apprenticeship or traineeship, need help finding an employer, wanna browse what apprenticeships are up on offer right now, or just have more questions we didn’t quite get to, then you should definitely check out our mates at VERTO.

VERTO is a not-for-profit organisation that will help you with all your training and employment needs. They’re one of the biggest apprenticeship and traineeship providers in NSW so you know you’re in safe hands and they’ve got hundreds of opportunities available across the state. Check out more info and the available apprenticeship/traineeships right over here.