HECS-HELP Repayment Calculator 2026-27
Calculate your compulsory HECS-HELP repayment for the 2026-27 financial year using confirmed ATO thresholds. Enter your repayment income, current HELP debt balance, expected salary growth, and CPI indexation rate to get your annual repayment, monthly deduction, estimated years to pay off, total cost including indexation, and a year-by-year payoff table. 100% private — all calculations run in your browser.
How HECS-HELP Repayments Work in Australia (2026-27)
The HECS-HELP repayment calculator estimates your compulsory Higher Education Loan Program repayment using the Australian Taxation Office 2026-27 income thresholds. HECS-HELP is an income-contingent loan scheme that allows eligible Australian students to defer university tuition fees. Repayments are collected automatically through the tax system once your repayment income — a broader measure than taxable income alone — exceeds the minimum threshold of $54,435 for 2026-27, based on confirmed ATO rates (source: ato.gov.au).
The repayment rate is applied to your entire repayment income, not just the portion above each bracket boundary. Rates range from 1% at $54,435 to 10% for incomes above $159,663, across 19 progressive brackets. This means a salary increase that crosses a threshold boundary can increase your total annual repayment significantly — a threshold-jump effect worth modelling before negotiating a pay rise. Last updated: May 2026. Based on confirmed ATO 2026-27 schedule.
Understanding Repayment Income vs Taxable Income
Your HECS-HELP repayment income is calculated differently from the taxable income shown on your tax return. The ATO adds back four additional components to your taxable income: net investment losses (e.g., negatively geared rental properties), reportable fringe benefits (salary-packaged benefits your employer reports), reportable employer superannuation contributions (super contributions above the compulsory rate your employer reports), and exempt foreign employment income. Adding these back ensures that income-reducing strategies do not artificially lower the repayment rate for HELP debtors. Enter your best estimate of this combined figure in the calculator above.
If you are unsure of your repayment income, a good starting point is your gross taxable salary. For most employees without investment properties or salary packaging, taxable income and repayment income are the same. For those who salary sacrifice into superannuation above the standard employer rate, you will typically need to add the reportable super amount back in.
HELP Debt Indexation and the True Cost of Your Debt
HELP debts are indexed annually on 1 June. Since 2023, the indexation rate is capped at the lower of the Consumer Price Index (CPI) or the Wage Price Index (WPI), as legislated by the Australian Government to protect borrowers during high-inflation periods. The 2025-26 indexation rate was 3.2% (CPI). The 2026-27 rate will be determined by the ATO in mid-2026 and will appear in your ATO online services account. This calculator defaults to 3.2% — update the field with the confirmed rate once published.
Indexation is applied to your opening balance each 1 June, before any compulsory repayments for the year are credited. For a $40,000 debt at 3.2%, this adds $1,280 before any repayment is deducted. For lower-income debtors whose annual repayment is close to the indexation amount, debt reduction can be slow. The year-by-year table this calculator generates reveals the full picture: the total indexation cost and total amount repaid, both of which may substantially exceed the original loan amount.
Tips for Paying Off Your HECS-HELP Debt Faster
Consider making a voluntary lump-sum repayment before 1 June each year. Even a few hundred dollars applied before the indexation date prevents that amount from being indexed, reducing the effective cost. Voluntary repayments are processed via myGov or BPay within days, and there is no minimum amount requirement (though ATO guidance notes payments below $500 may not show immediately).
Salary sacrificing into superannuation above the standard compulsory rate increases your reportable super contributions, which the ATO adds back to your repayment income — this can push you into a higher HELP bracket. By contrast, standard employee superannuation contributions are not added back. Model both scenarios using this calculator before adjusting your super strategy. For threshold-boundary planning, use our HELP Threshold Jump Checker to see exactly how much salary room you have before the next repayment bracket kicks in.