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Tax✓ Updated August 2026

Australia HECS/HELP Loan Repayment & Indexation Calculator 2026/27

Calculate compulsory HECS/HELP student loan repayments for the 2026/27 financial year. Features multi-year payoff projections, 2026/27 ATO threshold rates (1% to 10%), annual CPI indexation, and savings from optional voluntary repayments.

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Frequently Asked Questions

What is the minimum income threshold for HECS/HELP repayments in 2026/27?

For the 2026/27 tax year, the compulsory HECS/HELP repayment threshold begins at $54,435. Incomes below this amount require $0 compulsory repayment.

How are HECS/HELP debts indexed in Australia?

HELP debts are indexed annually on 1 June. Under recent legislation, indexation is calculated using the lower of the Consumer Price Index (CPI) or Wage Price Index (WPI) to prevent excessive indexation.

Are HECS/HELP repayments tax-deductible?

No, compulsory and voluntary HELP debt repayments are made with after-tax dollars and are not tax-deductible.

Should I make voluntary repayments on my HECS/HELP debt?

Voluntary repayments directly reduce your balance and avoid future indexation. However, because HELP loans carry no interest (only indexation), many financial advisers suggest prioritizing high-interest debts before making voluntary HELP payments.

Disclaimer: Results are estimates based on standard tax rules for the 2026 tax year and are provided for informational purposes only. Individual circumstances (deductions, credits, specific state/local rules) may significantly affect your actual tax liability. Always consult a qualified tax professional or accountant for advice specific to your situation.