From 2025-26, HECS/HELP compulsory repayments use a marginal system: you repay only on the part of your repayment income above the threshold, not on your whole income (the pre-2025-26 method). For more on what the debt is, see what is HECS-HELP debt.
2025-26 repayment thresholds and rates
- $0 – $67,000: nil
- $67,001 – $125,000: 15c per $1 over $67,000
- $125,001 – $179,285: $8,700 + 17c per $1 over $125,000
- $179,286 and over: 10% of total repayment income
The $8,700 in the third band is simply the full 15% charge on the first band: 15% × ($125,000 − $67,000) = $8,700. At $179,286 and above, the calculation flips back to 10% of your whole repayment income.
ATO worked examples
- $80,000 → 15% × ($80,000 − $67,000) = $1,950
- $73,810 → 15% × ($73,810 − $67,000) = $1,021.50
What counts as repayment income?
Repayment income is your taxable income plus certain add-backs (reportable fringe benefits, reportable super contributions, net investment losses and more). For most wage earners with none of those, repayment income is close to their salary.
Work out your repayment
The HECS/HELP repayment calculator applies these thresholds to your income and shows your compulsory repayment for the year, by pay period.
Source: ATO study and training support loans rates and repayment thresholds (2025-26). 2026-27 thresholds not yet published as at 1 July 2026.