Guides
HELP / HECS student loan repayments
How compulsory Higher Education Loan Program (HELP / HECS-HELP) repayments interact with your take-home pay — including the move to marginal rates from 2026–27.
What is HELP / HECS?
HELP covers student loans such as HECS-HELP. When your repayment income is above the annual threshold, extra amounts are withheld from your pay (and finalised on your tax return) until the debt is repaid. Repayments are in addition to income tax and Medicare.
Marginal rates from 2026–27
From 1 July 2026, compulsory HELP uses a marginal system on repayment income above the free threshold — similar in spirit to income tax brackets — instead of a single percentage of your whole repayment income.
| Repayment income | How repayment is calculated |
|---|---|
| Below $69,529 | No compulsory repayment |
| $69,529 – $129,717 | $0 + 15% over $69,528 |
| $129,718 – $186,050 | $9,028 + 17% over $129,717 |
| $186,051 and over | 10% of total repayment income |
Tick HELP / HECS debt in the calculator to include estimated compulsory repayments in your net pay.
Earlier years (2025–26 style)
Before 2026–27, compulsory rates were generally a percentage of your whole repayment income once you crossed each threshold. Example starting bands for 2025–26:
| Repayment income from | Rate of repayment income |
|---|---|
| $67,000 | 1.5% |
| $74,000 | 2% |
| $80,000 | 2.5% |
| $86,000 | 3% |
| $93,000 | 3.5% |
| $100,000 | 4% |
| …up to 10% at the top threshold | |
Payslip vs tax return
Employers use ATO withholding schedules (including STSL / study and training support loan coefficients) during the year. Your final HELP liability is based on repayment income when you lodge. Estimates in TaxPayCalculator follow the published schedules for planning — they are not a substitute for ATO or payroll software.
General information only — not personal advice. Check current HELP thresholds on the ATO study and training support loans page.