On this page:
35.1 - Compulsory repayments/Overseas levy
A person’s HELP debt must be repaid to the ATO once they earn enough to make repayments (this is known as the repayment threshold).
Repayment income is the total sum of the following amounts from a person’s income tax return for the income year:
- taxable income
- reportable fringe benefits (as reported on their payment summary)
- total net investment loss (which includes net rental losses)
- reportable super contributions; and
- any exempt foreign employment income amounts [HESA section 154-5]
The amount a person repays each year is a percentage of their repayment income [HESA Subdivision 154-B]. The ATO publishes repayment rates. Similarly, an overseas debtor becomes liable to pay a levy when their assessed worldwide income is above the minimum repayment threshold for the income year [HESA Subdivision 154-AA].
For further information on overseas obligations, visit the ATO website.
35.2 - Voluntary repayments
A person can make a voluntary repayment towards their HELP debt at any time to the ATO [HESA Division 151]. If a person makes a voluntary repayment, it can mean that they repay their debt quicker and less indexation may be added to their debt across the life of the loan. Voluntary repayments are in addition to compulsory repayments. Voluntary repayments are non-refundable.
35.3 - Indexation of outstanding HELP debts
HELP debts are indexed annually [HESA section 154-25] to maintain their real value, by adjusting them in line with changes in the cost of living as measured by the Consumer Price Index or the Wage Price Index, whichever is lower. Indexation means the amount a person will repay in total will likely be more than the original amount of the loan.
Indexation adjustments are applied by the ATO on 1 June each year and applies to the portion of debt that has remained unpaid for more than 11 months.
35.4 - Re-crediting HELP balances
Since 1 July 2019, any repayment a student makes towards their HELP debt with the ATO will credit their available HELP balance, up to their applicable HELP loan limit [HESA section 128-25].
Any voluntary repayments a student makes will credit their HELP balance when the ATO notifies the department that a repayment has been made. Any compulsory repayments will credit a student’s available HELP balance once:
- they have completed their tax return
- have been issued a notice of assessment; and
- the ATO notifies the department of a repayment being made
The amount that is withheld from a person’s fortnightly pay via PAYG is not a repayment against their HELP debt. These amounts are withheld at the ATO until the person completes their tax return and it is processed by the ATO.
A person can view their compulsory and/or voluntary repayments when they log in to the ATO’s Online Services via myGov.
A person can view repayments made after 1 January 2020, which re-credited their HELP balance, as well as study history (from 2005 onwards) by logging into the myHELPbalance portal.