What is the HECS-HELP repayment threshold for 2025-26?

For the 2025-26 financial year, the minimum repayment threshold is $54,435. If your repayment income is below this amount, you do not have to make any compulsory repayments. Above this threshold, repayment rates range from 1% to 10% of your total repayment income, depending on which bracket you fall into.

How is HECS-HELP repayment income calculated?

Your HELP repayment income (HRI) is your taxable income plus any net investment losses, reportable fringe benefits, reportable superannuation contributions, and exempt foreign employment income. It is not just your salary — the ATO uses this broader measure to determine your repayment obligation.

Is HECS-HELP debt indexed for inflation?

Yes, HELP debts are indexed each year on 1 June. From 2023-24 onwards, indexation is capped at the lower of CPI or the Wage Price Index (WPI). This change was introduced to prevent debt from growing faster than wages, as occurred in 2023 when CPI was exceptionally high.

Can I make voluntary HECS-HELP repayments?

Yes, you can make voluntary repayments at any time through the ATO. There is no minimum amount for voluntary repayments. While the government previously offered a discount for voluntary payments over $500, this discount was removed from 1 January 2017. Voluntary repayments reduce your outstanding balance and can help you pay off your debt faster.

HECS-HELP Repayment Calculator

Estimate your annual and monthly HELP debt repayments based on 2025-26 thresholds.

Annual Income (A$)

HELP Debt Balance (A$)

2025-26 Repayment Rates

Below $54,4350%

$54,435 - $62,8501%

$62,851 - $66,6202%

$66,621 - $70,6182.5%

$70,619 - $74,8553%

$74,856 - $79,3463.5%

$79,347 - $84,1074%

$84,108 - $89,1544.5%

$89,155 - $94,5035%

$94,504 - $100,1745.5%

$100,175 - $106,1856%

$106,186 - $112,5566.5%

$112,557 - $119,3097%

$119,310 - $126,4687.5%

$126,469 - $134,0568%

$134,057 - $142,1008.5%

$142,101 - $150,6269%

$150,627 - $151,2009.5%

Above $151,20110%

Annual Repayment

Monthly Equivalent

Repayment Rate

Estimated Years to Repay

Understanding HECS-HELP Repayments

HECS-HELP is the Australian Government's income-contingent loan scheme that helps eligible students pay their university tuition fees. Under this system, the government pays your tuition upfront to your university, and you repay the debt through the tax system once your income exceeds the minimum repayment threshold. For the 2025-26 financial year, that threshold is $54,435.

How Repayments Work

Compulsory repayments are calculated as a percentage of your total repayment income, not just the amount above the threshold. This means that once you cross into a higher bracket, the rate applies to your entire income. For example, at an income of $75,000, the 3.5% rate applies to the full $75,000, resulting in an annual repayment of $2,625. Repayments are withheld by your employer through PAYG and reconciled in your tax return.

Indexation and Debt Growth

HELP debts are indexed annually on 1 June to maintain their real value. From the 2023-24 year onwards, indexation is capped at the lower of the Consumer Price Index (CPI) or the Wage Price Index (WPI), protecting borrowers from the spike in debt that occurred when CPI surged. This calculator does not factor in indexation, so actual repayment periods may be slightly longer.

Use this calculator to see how your current income translates to HECS-HELP repayments and estimate how long it will take to clear your student debt at your present income level.

This calculator is for informational purposes only and does not constitute financial, tax, or legal advice. Always consult a qualified professional for decisions specific to your situation.

HECS-HELP Repayment Calculator

Understanding HECS-HELP Repayments

How Repayments Work

Indexation and Debt Growth

Frequently Asked Questions

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