Repaying HELP Debt 2010

NOTE: Remember, any extra tax deducted from your pay for HELP debt is not applied directly to your HELP account. It is simply additional tax credits and is applied when your tax return is lodged. It is only then, after taking into account other income and or deductions, that the amount of HELP debt due for the year can actually be calculated (eg, additional deductions can place you in a lower repayment threshold/rate.

Calculating compulsory repayments

When your repayment income is above the minimum repayment threshold for an income year, we will calculate your compulsory repayment for that year by applying different percentage rates for different ranges of income.

Your compulsory repayment increases as your repayment income increases. The more you earn, the higher your repayment. Your compulsory repayment is based on your income alone – not the income of your parents or spouse.

Compulsory repayments continue until you have repaid your debt.
The income thresholds and repayment rates for income earned during the 2008–09 and 2009–10 income years are shown in table 2 and table 3.

Repayment rates for the 2009–2010 income year
Repayment income
2009–10
Repayment rate
(% of repayment income)
Below $43,151
Nil
$43,151–$48,066
4.0%
$48,067–$52,980
4.5%
$52,981–$55,764
5.0%
$55,765–$59,943
5.5%
$59,944–$64,919
6.0%
$64,920–$68,336
6.5%
$68,337–$75,203
7.0%
$75,204–$80,136
7.5%
$80,137 and above
8.0%

(Source: ATO)

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