HECS/HELP Repayment Calculator

See exactly when your HECS debt will be paid off under the 2026-27 marginal repayment system — and how extra repayments or a June 1 lump sum change that.

Marginal repayments15c/17c only above $69,528 June 1 indexationLower of CPI or WPI Compulsory ≠ optimalExtras can save years

Balance Over Time

Pay Off Early vs Invest

Year-by-Year Breakdown
FY Opening Voluntary Indexation Compulsory Closing

About this tool

Project exactly when your HECS/HELP debt will be paid off, using the current marginal repayment system (effective from FY2025-26) rather than the old single-percentage-of-income table most calculators still use.

Model extra voluntary repayments, a one-off lump sum paid before the 1 June indexation date, and compare paying HECS off early against investing the same dollars instead — side by side, with no recommendation either way.

Built for any Australian with an outstanding HECS/HELP debt — from recent graduates to anyone still chipping away at theirs years later.

Frequently asked questions

How are HECS repayments calculated in 2026-27?

From FY2025-26, HECS/HELP uses a marginal repayment system similar to income tax. For 2026-27: no repayment below $69,528 of Repayment Income (HRI); 15c per dollar of HRI between $69,528 and $129,717; $9,028 plus 17c per dollar between $129,717 and $186,050; and 10% of your total HRI above $186,050. Only the income above each threshold is charged at that band's rate — this is why the marginal system results in lower repayments than the old table for most incomes.

What was the 20% HECS cut?

In 2025 the government applied a one-off 20% reduction to every outstanding HELP/HECS balance, alongside switching to the marginal repayment system. That cut has already been applied to your balance by the ATO — enter your current balance (from myGov) and this calculator projects forward from there; it does not re-apply the cut.

Should I pay off my HECS early?

It depends on your goals and risk tolerance. HECS is indexed at the lower of CPI or WPI — historically modest compared to typical long-run investment returns — and has no fixed repayment schedule or credit impact. Paying extra guarantees you avoid future indexation on that amount, a safe and certain "return". Investing instead isn't guaranteed but has historically outperformed indexation over long periods. Use the Pay Off Early vs Invest card to compare both paths with your own numbers.

When does indexation apply?

Indexation is applied once a year on 1 June, using the lower of CPI or WPI for the preceding 12 months (2.8% was applied on 1 June 2026). Any voluntary or lump-sum payments made before 1 June reduce your balance before that year's indexation is calculated, while compulsory repayments are credited at tax-return time after indexation — so paying earlier in the year is always better than paying later.

Is this calculator up to date with the new marginal system?

Yes. It uses the FY2026-27 marginal repayment thresholds and rates (not the old single-percentage-of-income table), and indexes those thresholds forward each year using your assumed indexation rate — matching how the ATO adjusts them annually.