HECS & HELP INDEXATION TO RISE JUNE EACH YEAR

HECS & HELP Indexation to rise June each year the government charge indexation on student study and training loans funded by HECS-HELP debts. Include HELP – Higher Education Loan Program, VSL – VET Student Loan, SFSS – Student Financial Supplement Scheme, SSL- Student Start-up Loan, ABSTUDY SSL- Abstudy Student Start-up Loan and TSL- Trade Support Loan. Indexation rates were as low as 0.6% 2 years ago and rose to 3.9% last year. Index rates for this year are predicted to be as high as 7% which will be charged on amounts that have been outstanding for over 11 months and on the 1st June 2023 will be added to your current debt. You can make voluntary early payments to AVOID the indexing charge. You can login to ATO within MyGov to check your balance find out repayment methods. Amounts that may have been withheld by your employer from wages is not credited onto your HECS-HELP account until you lodge your tax return – so after indexation has been applied. If you pay out HELP debt early any extra tax your employer has withheld will be credited along with PAYG tax withheld (tax on earnings) when you lodge your tax return.

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