HECS-HELP Repayment 2027 Calculator (Australia)
Calculate your Australian HECS-HELP repayment for 2027 — 1% starting at $58,648 income, scaling to 10% above $151,200 — plus indexation rate impact on balance.
2027 Repayment Brackets
Starts at $58,648 (1%), then 11 brackets up to 10% at $151,201+. Compulsory repayment via PAYG — employer withholds based on TFN declaration showing HELP debt. No repayment under threshold.
Indexation 1 June Annually
HELP debts indexed by lesser of CPI or Wage Price Index from 1 June 2024 reform — fixes the 2023 nightmare where 7.1% indexation outpaced repayment. 2026 indexation was 3.5%, expected ~3% for 2027.
Voluntary Repayments No Bonus
10% bonus for voluntary repayments was abolished in 2017. Today extra payments simply reduce the debt — useful if you're earning under threshold or to avoid future indexation.
20% Debt Reduction One-Off
Government announced 20% one-off reduction of HELP debt taking effect 1 June 2025 — average debtor saves $5,520. Followed by raised income threshold to $67,000 from 1 July 2025 (further raised for 2027 indexation).
Source: ato.gov.au HECS-HELP repayment rates 2026/27. Last updated: May 2026.
Frequently Asked Questions
When was the 20% debt reduction?
1 June 2025. One-off legislated reduction — average debtor saved ~$5,520. Doesn't repeat in 2026 or 2027; was a one-time fairness adjustment.
Should I make voluntary repayments?
Generally no if income is high — your compulsory rate already exceeds indexation. Better invest extra cash. Yes if income is just over threshold (low compulsory) but you have spare cash.
Does HECS affect borrowing capacity?
Yes — banks calculate it as monthly liability when assessing home loans. Higher HECS debt = lower borrowing capacity. Some banks treat HECS more harshly than others.
What if I go overseas?
Must declare worldwide income to ATO and pay HECS based on overseas income. Many Aussies overseas neglect this and accumulate compounding debt without realising.
Is my data private?
Yes. All calculations run in your browser. Inputs are never sent, stored, or shared.