HECS-HELP Repayment Calculator Australia

Managing a HECS-HELP debt is an important part of personal tax and cash flow planning. For many Australians, compulsory study loan repayments are worked out through the tax system and can affect your take-home pay, tax refunds, annual tax bills, and financial planning.

The Investax HECS-HELP Repayment Calculator Australia helps you estimate your compulsory HELP loan repayments based on your repayment income. It takes into account your taxable income, net investment loss, reportable fringe benefits, reportable super contributions, and exempt foreign employment income to give you an estimated repayment amount.

This calculator is for Australian taxpayers with a HECS-HELP, HELP, VET Student Loan, Student Financial Supplement Scheme, Student Start-up Loan, Trade Support Loan, or other study and training support loans. It gives you an estimate only. The final repayment amount is worked out by the Australian Taxation Office when you lodge your tax return.

Starting in the 2025–26 income year, the Australian Government changed the HELP repayment system. The minimum repayment threshold is now $67,000, and compulsory repayments are calculated only on the income above this new threshold, not on your total annual income.

What Is a HECS-HELP Repayment Calculator?

A HECS-HELP repayment calculator is a tool that estimates how much compulsory repayment may be payable toward a study loan for the financial year. It uses repayment income, not just taxable income, to estimate the repayment obligation.

The calculator can help estimate repayments for:

• HECS-HELP debts
• FEE-HELP debts
• VET Student Loans
• SA-HELP debts
• OS-HELP debts
• STARTUP-HELP debts
• Student Start-up Loans
• Student Financial Supplement Scheme debts
• Australian Apprenticeship Support Loans

HELP debts are managed through the Australian tax system. StudyAssist states that the ATO is responsible for managing HELP debt repayments, and compulsory repayments apply when annual income is above the compulsory repayment threshold.

How the HECS-HELP Repayment Calculator Works

The calculator estimates repayment by calculating repayment income and applying the relevant repayment threshold and rate for the selected financial year.

To use the calculator, enter the following details.

1. Taxable Income

Enter taxable income for the financial year. This may include salary and wages, business income, rental income, investment income, trust distributions and other assessable income after allowable deductions.

2. Net Investment Loss

Enter any net investment loss. This can include net rental property losses or net financial investment losses. Even though these losses may reduce taxable income, they are added back when calculating HELP repayment income.

3. Reportable Fringe Benefits

Enter any reportable fringe benefits shown on the income statement or payment summary. These may include salary-packaged benefits or other employer-provided benefits that are reportable for tax purposes.

4. Reportable Super Contributions

Enter reportable super contributions. These may include salary sacrifice super contributions and certain personal deductible super contributions.

5. Exempt Foreign Employment Income

Enter exempt foreign employment income, if applicable. This amount can be included in repayment income for HELP debt purposes.

6. Calculate the Estimated Repayment

After entering the details, the calculator estimates repayment income and the compulsory repayment amount. This result should be treated as a guide only.

What Is Repayment Income?

Repayment income is different from taxable income. For HELP repayment purposes, repayment income generally includes taxable income plus certain additional amounts.

Repayment income may include:

• Taxable income
• Reportable fringe benefits
• Total net investment loss
• Reportable super contributions
• Exempt foreign employment income

The Department of Education explains that repayment income is the total sum of taxable income, reportable fringe benefits, total net investment loss, reportable super contributions and exempt foreign employment income amounts from the tax return.

This is why some taxpayers are surprised when they have a compulsory HELP repayment even though their taxable income appears lower than expected.

2025–26 HECS-HELP Repayment Thresholds and Rates

For 2025–26, the HELP repayment system changed to a marginal repayment structure. The ATO’s 2025–26 repayment table starts with no repayment up to $67,000, then applies marginal rates above that amount.

This change is important because earlier repayment systems calculated repayments as a percentage of total repayment income once the threshold was reached. From 2025–26, many taxpayers may have lower compulsory repayments under the new marginal system. The Department of Education confirms that repayments are calculated only on income above the new $67,000 threshold.

Why Use a HECS-HELP Repayment Calculator?

A HECS-HELP repayment calculator Australia tool can help taxpayers understand how a study loan may affect their tax outcome before lodging a return.

Using the calculator can help:

• Estimate compulsory HELP repayments
• Understand whether income is above the repayment threshold
• Review repayment income, not only taxable income
• Plan for tax bills or reduced refunds
• Understand the effect of investment losses
• Review the impact of salary packaging
• Estimate repayments before EOFY
• Prepare before lodging a tax return
• Identify when professional tax advice may be required

For taxpayers who need support preparing their return, Investax provides income tax compliance services.

HECS-HELP Repayments and Tax Returns

Compulsory HELP repayments are calculated when the tax return is lodged. Even if an employer withholds extra PAYG amounts during the year, the ATO does not apply those amounts to the HELP debt immediately.

StudyAssist explains that PAYG deductions are only applied to the HELP debt once the tax return is lodged. If too much has been withheld, the extra amount may be returned as part of the tax outcome. If too little has been withheld, the taxpayer may need to pay the difference.

This means the calculator can be useful before tax time, especially for people with variable income, investment income, salary packaging or multiple jobs.

Compulsory Repayments vs Voluntary Repayments

There are two main ways to repay a HELP debt:

Compulsory Repayments

Compulsory repayments are calculated by the ATO when the annual tax return is lodged. They apply when repayment income is above the relevant threshold.

Voluntary Repayments

Voluntary repayments can be made at any time. StudyAssist states that voluntary repayments reduce the HELP debt once processed, but they are in addition to compulsory repayments and do not reduce or offset any compulsory repayment required for that year.

This is a common misunderstanding. A voluntary repayment may reduce the loan balance, but the ATO may still calculate a compulsory repayment when the tax return is lodged.

HECS-HELP and PAYG Withholding

Employees with a HELP debt should tell their employer so extra amounts can be withheld through PAYG withholding. This does not mean the employer is directly repaying the HELP debt each pay cycle. Instead, the withheld amount is used when the tax return is assessed.

PAYG withholding may be affected by:

• Salary and wages
• Multiple jobs
• Bonuses
• Allowances
• Salary packaging
• Reportable fringe benefits
• Reportable super contributions
• Investment income
• Rental property losses
• Capital gains

Where income changes during the year, the amount withheld may not match the final repayment amount. A calculator can help estimate whether extra tax may be payable.

Salary Packaging and HECS-HELP Repayments

Salary packaging can reduce taxable income in some situations, but it may not reduce HELP repayment income in the same way. Reportable fringe benefits may be added back when calculating repayment income.

This can affect employees who use salary packaging for:

• Novated leases
• Meal entertainment cards
• Living expenses cards
• Employer-provided benefits
• Salary sacrifice arrangements
• Certain exempt or rebatable employer benefits

Taxpayers who salary package and have a HELP debt should review repayment income carefully. A lower taxable income does not always mean a lower HELP repayment.

Reportable Super Contributions and HELP Repayments

Reportable super contributions may also affect HELP repayment income. Salary sacrifice super contributions and certain personal deductible super contributions can be added back for repayment income purposes.

This is important for taxpayers who contribute extra to super before 30 June. Super contributions may reduce income tax, but they may still be included when calculating HELP repayment income.

Before making large deductible super contributions, taxpayers with HELP debts should consider:

• Income tax reduction
• HELP repayment income
• Cash flow impact
• Contribution caps
• Division 293 tax, where relevant
• Long-term retirement planning

For broader year-end tax planning, Investax provides year-end tax planning resources.

Net Investment Losses and HELP Repayments

Net investment losses are added back when calculating repayment income. This can include rental property losses and some financial investment losses.

For example, a property investor may have a taxable income below the HELP threshold after claiming rental deductions. However, if the net rental loss is added back, repayment income may exceed the threshold and create a compulsory repayment.

This can affect taxpayers with:

• Negatively geared investment property
• Share portfolio borrowing costs
• Margin loan interest
• Investment loan interest
• Rental property deductions
• Net financial investment losses

Property investors with HELP debts should review repayment income before assuming no repayment will apply.

For property-focused tax support, Investax provides investment property tax advice.

HECS-HELP and Capital Gains

Capital gains can increase taxable income and may also affect HELP repayment income. If a taxpayer sells an investment property, shares, ETFs, cryptocurrency or another asset during the financial year, the taxable capital gain may push repayment income above the threshold.

This may be relevant where income includes:

• Investment property capital gains
• Share portfolio gains
• ETF or managed fund gains
• Cryptocurrency gains
• Business asset gains
• Trust capital gains distributions

Before selling a major investment, taxpayers with HELP debts should estimate both capital gains tax and HELP repayment impact.

Investax provides dedicated tools including:

• capital gains tax calculator
• capital gains tax calculator for shares
• capital gains tax calculator for crypto

HECS-HELP and Rental Property Investors

Rental property investors may need to pay special attention to repayment income. Negative gearing can reduce taxable income, but net rental losses may be added back for HELP repayment purposes.

This means a taxpayer may still have a compulsory repayment even if rental losses reduce taxable income.

Rental property investors should review:

• Rental income
• Interest deductions
• Repairs and maintenance
• Council rates
• Strata levies
• Property management fees
• Depreciation and capital works
• Net rental loss
• Taxable income
• Repayment income

For specialist rental property tax advice, Investax also provides property tax specialist services.

HECS-HELP and Business Owners

Business owners, sole traders and contractors may have more variable income than salary earners. This can make HELP repayment planning more important.

Business owners should consider:

• Business profit
• Personal taxable income
• Deductible expenses
• Super contributions
• Trust distributions
• Company wages
• Dividends
• Reportable fringe benefits
• Investment losses
• Capital gains
• PAYG instalments

If income increases unexpectedly, a compulsory HELP repayment may arise when the tax return is lodged. Tax planning before 30 June can help avoid surprises.

For business tax support, Investax provides business tax reporting services and business structure services.

HECS-HELP and Multiple Jobs

Taxpayers with more than one job may have PAYG withholding gaps if employers do not withhold enough across all income sources. This can happen when each employer calculates withholding based only on that job.

A HELP repayment shortfall may occur where:

• Multiple employers are involved
• The tax-free threshold is incorrectly claimed
• HELP debt is not declared to each employer
• Bonuses or commissions are paid
• Overtime increases income
• Investment income is received
• Taxable income increases above the threshold

Employees with multiple jobs should monitor total annual income and consider using a calculator before the end of the financial year.

HECS-HELP and Overseas Income

Australians with HELP debts may still have repayment obligations if they move overseas. Overseas debtors may need to report worldwide income and may have repayment obligations depending on income level.

This can be relevant for:

• Australian graduates working overseas
• Temporary overseas employees
• Digital nomads
• Migrants returning overseas
• Australian residents with foreign income
• Individuals with exempt foreign employment income

Because overseas obligations can be complex, taxpayers should review ATO guidance and seek professional advice where needed.

HECS-HELP Indexation

HELP debts do not operate like standard bank loans, but they are indexed. StudyAssist explains that HELP debts are indexed by the ATO each year, and indexation is added to reflect changes in the cost of living.

Indexation can increase the loan balance over time. Voluntary repayments made before indexation may reduce the balance on which indexation is calculated, but voluntary repayments should be considered carefully alongside cash flow, savings goals, mortgage plans and investment priorities.

20% HELP Debt Reduction

The Australian Government passed legislation to reduce HELP and student loan debts by 20%. The Department of Education states that the Universities Accord Bill 2025 passed Parliament and reduces HELP and student loan debt by 20%.

This debt reduction is separate from annual compulsory repayments. The calculator is mainly designed to estimate compulsory repayments based on repayment income.

Common HECS-HELP Repayment Mistakes to Avoid

HELP repayment mistakes can lead to unexpected tax bills, incorrect cash flow planning or confusion at tax time.

Common mistakes include:

• Using taxable income only instead of repayment income
• Forgetting net investment losses
• Ignoring reportable fringe benefits
• Forgetting salary sacrifice super contributions
• Assuming voluntary repayments reduce compulsory repayments
• Not telling an employer about a HELP debt
• Not telling multiple employers about a HELP debt
• Forgetting investment income
• Ignoring capital gains
• Assuming PAYG deductions are applied to HELP debt immediately
• Not planning before 30 June
• Using outdated repayment thresholds
• Not checking the final ATO notice of assessment

A calculator can help with planning, but the final repayment should be confirmed through the ATO assessment.

Documents Needed for a HECS-HELP Repayment Review

Before seeking tax advice, taxpayers should prepare relevant income and deduction records.

Useful documents may include:

• PAYG income statements
• Employer payment summaries
• Reportable fringe benefit details
• Reportable super contribution details
• Salary sacrifice records
• Rental property income and expense records
• Investment income records
• Capital gains tax records
• Trust distribution statements
• Foreign employment income records
• Prior year tax returns
• ATO HELP debt balance details
• PAYG withholding information
• myGov ATO account information

Good records help calculate repayment income more accurately and reduce the chance of surprises at tax time.

When Should Taxpayers Get HECS-HELP Repayment Advice?

Professional advice may be useful where:

• Income is close to the repayment threshold
• Salary packaging is used
• Reportable fringe benefits are received
• Extra super contributions are made
• Investment property losses exist
• Capital gains occur during the year
• Multiple jobs are held
• Business income is received
• Trust distributions are received
• Overseas income is involved
• PAYG withholding may be too low
• A large tax bill is expected

For strategic support, Investax provides strategic tax consultation services for individuals, investors, professionals and business owners.

Why Choose Investax for HECS-HELP and Tax Planning?

Investax works with individuals, graduates, professionals, property investors, business owners and high-income taxpayers who need practical tax planning and compliance support. HELP repayments are not just a student loan issue. They can affect tax refunds, cash flow, investment planning, salary packaging, superannuation strategy and year-end tax decisions.

Investax can assist with:

• Income tax return preparation
• HELP repayment income review
• Salary packaging tax impact
• Reportable fringe benefit review
• Super contribution planning
• Investment property tax review
• Capital gains tax planning
• Business income reporting
• PAYG withholding review
• Tax planning before 30 June

For broader planning, Investax also provides asset protection services in Australia and investment structure services in Australia.

Speak With an Australian Tax Specialist

The Investax HECS-HELP Repayment Calculator Australia provides a helpful estimate, but final repayments can change after reviewing repayment income, investment losses, fringe benefits, super contributions, capital gains, overseas income and ATO assessment rules.

Before lodging a tax return, making large super contributions, selling investments or relying on salary packaging arrangements, professional advice can help reduce tax surprises.

Book a Complimentary Consultation with Investax to discuss HECS-HELP repayments, income tax and year-end tax planning.

Frequently Asked Questions

What is a HECS-HELP repayment calculator?

A HECS-HELP repayment calculator estimates the compulsory repayment that may apply to a study loan based on repayment income and the relevant financial year threshold.

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

For the 2025–26 income year, compulsory repayments start when repayment income is above $67,000.

How are HELP repayments calculated from 2025–26?

From 2025–26, HELP repayments are calculated using a marginal system. Repayments apply only to income above the $67,000 threshold, rather than to total annual income.

Is HECS-HELP repayment based only on taxable income?

No. Repayment income is broader than taxable income. It can include taxable income, reportable fringe benefits, net investment losses, reportable super contributions and exempt foreign employment income.

Do voluntary repayments reduce compulsory repayments?

No. StudyAssist states that voluntary repayments are in addition to compulsory repayments and do not count towards or reduce any compulsory repayment required for that year.

Does salary packaging affect HECS-HELP repayments?

Yes. Salary packaging may create reportable fringe benefits, which can be included in repayment income. This may increase the compulsory repayment even if taxable income is reduced.

Do rental property losses affect HELP repayments?

Yes. Net investment losses, including net rental losses, may be added back when calculating repayment income. This can increase the repayment income used for HELP repayment purposes.

When does the ATO apply PAYG deductions to HELP debt?

PAYG deductions are applied to the HELP debt after the tax return is lodged and the ATO calculates the compulsory repayment.

Should I get advice before lodging a tax return with a HELP debt?

Advice is recommended where salary packaging, investment losses, capital gains, business income, trust distributions, overseas income or multiple jobs may affect repayment income.