HECS/HELP Repayment Calculator

Once your income exceeds the minimum threshold, a percentage rate is applied to your entire repayment income — not just the portion above the threshold. This means crossing into a new band results in a noticeably higher repayment. Your repayment income is your taxable income plus any reportable fringe benefits and total net investment losses.

Your HECS/HELP debt is indexed each year on 1 June based on the lower of CPI and WPI. The 2025 rate was 3.2%. Indexation is applied before repayments are deducted, so if your annual repayment is smaller than the indexation amount, your balance will increase even while you're paying it down. This is why the payoff timeline can be longer than you might expect at lower income levels.

Voluntary repayments reduce your balance immediately and permanently. They make financial sense if the indexation rate exceeds the after-tax return you'd earn investing the same money. With the 2025 indexation of 3.2%, voluntary repayments are roughly comparable to earning 3.2% risk-free — slightly below long-term index fund returns but better than many savings accounts. Because HECS is not true interest (only indexed), many advisers suggest investing surplus cash in higher-returning assets. Consult a financial adviser for personalised guidance.

The same repayment thresholds and rates apply to all HELP-type loans: HECS-HELP (university fees), FEE-HELP (full-fee places), VET Student Loans, Australian Apprenticeship Support Loans, Student Start-up Loans, and the Student Financial Supplement Scheme.

You start repaying your HECS/HELP debt once your repayment income exceeds the minimum threshold — $67,000 for 2025-26. Repayments are collected automatically through the tax system. Your employer withholds extra tax from your pay if you declare a HECS debt on your tax file number declaration.

Your annual HECS repayment is a percentage of your total repayment income (not just the amount above the threshold). The rate starts at 1% for incomes just over $67,000 and rises progressively up to 5% for higher earners. Use the calculator above to see your specific rate and annual repayment amount.

Yes. If you earn above the threshold, your employer withholds an additional amount from each pay to cover your estimated HECS repayment for the year. This is reflected as a lower net (take-home) pay on your payslip. Use our Salary Calculator to see exactly how HECS affects your take-home pay.

Yes. You can make voluntary repayments at any time directly to the ATO via your MyGov account or BPAY. Voluntary repayments reduce your balance immediately, which reduces the amount indexed each June. There is no minimum amount for voluntary repayments.