The Government has made changes to reduce the indexation that is applied to HELP (and other student loan schemes).
How was my HELP debt indexed on 1 June 2024?
Indexation is applied to HELP debts on 1 June each year.
In the May 2024 Budget, the Government announced changes to HELP indexation to be based on the lower of Consumer Price Index (CPI) or Wage Price Index (WPI), with effect from 1 June 2023.
This legislation has now been passed by both Houses of Parliament and will be automatically applied by the Australian Taxation Office to your loan.
This means that it is likely that you will receive an indexation credit that will reduce your outstanding loan. The indexation rate applied on 1 June 2023 of 7.1% has been reduced to 3.2% and the indexation rate applied on 1 June 2024 of 4.7% has been reduced to 4%.
Use the estimator to see the HELP indexation credit amount for 2023 and 2024 that could be applied to your HELP loan and see the FAQs for more information