Yup, I’ve got a plan for that—and more.https://t.co/UwGMlb5MUu I’m interested to see when mine is finally paid off the difference it makes to my take home pay, and how that little boost can help me achieve other things. I know that the HECS contributions that come out of my pay cheque don't get applied each fortnight, but at the end of the financial year as a lump sum. Does paying off your HECS early help at tax time? If this is your situation it makes mathematical sense to pay off the debt with the highest interest first and then move on to your next highest interest debt, and so on. Lucky you! I’ve opened a couple of cards over the years with good sign up bonuses, but I’m yet to find anything as good as they have in the US! Hi Jan, thanks for stopping by. My opinion varies depending on the type of debt and my situation at the time – yep I’m a fence sitter and don’t believe life is always black and white. ONE of the biggest beneficiaries of unpaid HECS debt write-offs prove why collecting money from the dead is not as cruel as it sounds. I hope you do manage to pay it off this year and that this approach has worked for you too. HECS debt accumulated during this time is different to other types of debt, and repayments are based on your income rather than the amount you have left to pay. Bankruptcy. As of 1 July 2017, your HECS debt repayment obligations will be determined based on your worldwide income for the 2016-2017 tax year. It was a gateway to a better life, and while it certainly hasn’t made me rich, it has certainly helped put me on the right path getting me where I am today. For some people, the extra tax owed could be a bit much, for others it's easy to pay off, and meant that they got more money throughout the year that they themselves could earn interest on. In 2019 the indexation factor was 1.8%. I agree with you. If you earn over this amount, based on your income assessment, you will have to pay back a percentage of your wage. That could change if the government policy towards HECS interest rates increases, but in the meantime I’m getting a much better return from shares and property! Neither your family or trustee will be liable to pay the rest. Have you written about travel hacking? With the 5% bonus on voluntary HECS-HELP payments of more than $500 to end at the end of the year, should students pay off their university debt?. For round figures, if your debt is the same amount ($54,869), and it's only indexed by 1.5-3%, you will essentially be paying off 1-2.5% of it each year. of HECS debt on estates over $100,000 could save up to $800 million a year. From a young age I knew I wanted to attend university and use my degree to kickstart my career. By the way, it’s your responsibility to make sure you inform your employer you have a HECS-HELP debt when you complete your TFN declaration, so that they can make sure your withholdings are correct. Do I have to pay my HECS debt if I move overseas? Higher Education Loan Program (HELP)—Australian Government loans that help eligible students pay their student contributions (HECS-HELP), tuition fees (FEE-HELP or VET FEE-HELP/VET Student Loans), overseas study As mentioned and under the current law, if a person doesn’t pay off their … Not everything is as black and white as this zebra. (function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';fnames[1]='FNAME';ftypes[1]='text';}(jQuery));var $mcj = jQuery.noConflict(true); Why I love the Entertainment Book – Hint: It saved us over $450 in 2 weeks! A Hecs debt is effectively an interest-free loan. While there are ways for creditors to still claim this debt, the amendments to the National Credit Act in March 2015 make it almost impossible for debt collectors to get back this expired debt. 1300 351 008, 9/39 Stanley St This means that the debt is written off. How long will it take to pay off my HECS-HELP debt? If that happens I can easily pay mine off, but would worry about those who wouldn’t be able to do that. I never made extra payments on my HECS debt either. If you advocate pay down debt at all costs NOW! Heavy fines for ignoring HECS-HELP repayments: there are significant penalties of up to $3,600 for travellers who don’t pay back study debt while overseas. Austaurean on 20/07/2019 - 17:01 . If the suggested changes went ahead, then the remaining study debt would not be cancelled but instead would become an unsecured debt of the deceased person’s estate. Edit: it’s still debt and if you feel like you want to pay it off, just do that. Interest-free means that even if you take years to pay off the loan, the indexation is minimal in comparison. Contact us today to speak to a financial expert, 8 of the best budgeting apps for Australians this year, 11 Tips Every First Home Buyer Should Know Before Buying. All Rights Reserved.ACL: 390820 Registration: 1403. Fill out your contact details 1) The ATO indexes the HELP debt once per year as well, and it is about a 2.0% increase on any debt that is older than 11 months. I agree with you in the fact its not a black and white choice. Universal child care. Not anymore. So when it comes to comparing a HECS debt with credit card debt, the student loan is a much better type of debt to have. Email us, © 2020 Debt Negotiators Pty LtdABN: 90 138 457 520. No! For now, HECS-HELP debt is still written off upon death, but in the future this could be different. I could put all of my extra money into paying off this debt faster by adding extra repayments above the minimum that come out of my salary; it might ‘feel’ good for a while, but what happens if I lose my job, or cannot work for an extended period due to illness? Don't subscribe . If you earn less than this amount, you will not be obliged to make repayments. I hate paying interest on the credit card. I’m not a fan of debt but I am comfortable with having a mortgage and an investment loan. In my eyes a HECS debt could definitely be viewed as an investment loan, and at a very minimal rate, you can certainly do better putting your money elsewhere. Mine took 8 years to be paid off in full. Also, I don’t think people should ever be borrowing at the maximum end of their mortgage eligibility anyway, it’s just not a smart financial decision and it locks you in with less buffer. "There are now no tax benefits associated with early repayment of HELP debt," Dr West said. The main factor that seals my view is that this loan has no interest and is only indexed at a very low rate, so my money can be better utilised elsewhere such as my ‘stash’ account – my emergency savings that currently yield 3% interest per annum and provide a high level of peace of mind, or the stock market, which for my portfolio has grown by over 11% in in the past 12 months. The debt will not follow you oversees either. The Government is owed $55 billion by people who accessed the Higher Education Loan Program (HELP), and at least $20 billion of that debt is forecast to be written off. I’m happy to hear from you too in a respectful way. If you’re one of the recipients, there are a number of things you’ll need to be aware of as, starting July 1, 2017, the Australian government made several changes to the repayment of these HECS-HELP debts for Australians living overseas. Welcome to HECS 101, your guide to understanding your uni debt. If you have debts such as these, I would always advocate strongly that you pay them off as quickly as you can so they aren’t holding you back from reaching financial freedom. I think you need to do what suits your budget, lifestyle and goals. Hi @marsell11,. Now that payments are coming out, I don’t see the point on increasing them. The Australian government may make changes to the terms of HECS loans in the near future. However, I'm a bit confused. Having access to that money now and the HECS debt only going up at the rate of inflation makes a lot more sense than paying it off. You can also subscribe without commenting. From July 1, 2017, Mr Pyne proposes that Australians with HECS or HELP debts will need to repay it. Some people are completely against taking out any form of debt (besides possibly a mortgage) and you can see them physically get uncomfortable talking about debt. In this chapter, I’ll cover what to do if you still have a significant HECs debt. Often we grow up learning either to copy what our parents did – because it worked, or doing the opposite – because it didn’t. In this tight risk banking environment, banks are now including HECS loans in their mortgage loan service ability and are asking some borrowers to either pay off their HECS before being approved the mortgage (even though it doesn’t make financial/economic sense) or reduce their mortgage amount request. Accumulated HELP debt—The total of any HECS-HELP, OS-HELP, FEE-HELP, VET FEE-HELP/VET Student Loans or SA-HELP debts you have incurred (including any Australian Government study loans incurred before 2005). Cancel your HELP debt under 'Special Circumstances' You will have a HELP debt for any units of study you did not withdraw from before the census date. The topic is highly controversial, and there is no way to know how the rules will change. Ultimately, the debt is cleared upon death. Do what you feel is right. As there is no regular payments made off your HECS debt apart from the annual payment when your tax return is lodged, there is no list. As can be seen in the picture above, I was initially paying off my student debt using the money I received from my salary. Your family would not be required to … Regarding the fact that HECS debt is included in bank assessments for a mortgage, it still isn’t worth it IMO. A HECS/HELP debt can lower your serviceability potential. Your employer should deduct 4.5% of your salary (at current 2015-16 rates) which is $2,925 per annum as an additional ‘tax’ that’s directed towards your HECS debt. 6/04/2016 The government could also lower the salary threshold of workers at which HECS debt begins to be repaid. The HECS-HELP Benefit was removed from 1 July 2017. Contact us today to speak to a financial expert. TIPS. 1300 351 008 You’ll need an active myGov account . HECS; This was published 5 months ago. I've ensured that I have some money close to it's amount available in other investments in the off chance that it gets privatised, or starts to receive and interest other than the indexation. Thanks for stopping by – always love to hear from other Aussies . For now, HECS-HELP debt is still written off upon death, but in the future this could be different. The HECS-HELP scheme is designed to help eligible students to pay for their education with loans and discounts. I wish there was an incentive to pay off a chunk of HECS like there was in the past. This site uses Akismet to reduce spam. Give it a try to pay off your HECS-HELP debt. Skip navigation ... Turnbull Govt plan to write-off HECS debt … Ahh my apologies. Speak to us today to get your free assessment. And who wouldn’t want that? According to leading higher education analysts, removing the complete write-off of HECS debt on estates over $100,000 could save up to $800 million a year. See section 7.7 for more information. Theres no good reason to pay off HECs debts early in my opinion. Completely agree about HECS debt – it’s the cheapest loan you’ll ever get and there is no mathematical benefit to paying it off ahead of schedule. For me, I am okay with knowing that this debt has allowed me to reach an even greater level of personal achievement. Why I’m not actively paying off my HECS/HELP debt, My Money Map – a deeper look at how I manage my money, Monthly Goal Update – December 2017 & Yearly Wrap Up, Knowing your ‘WHY’ is the most important thing to achieve your goals. If I use either HECS or HELP in this blog I mean the same thing. At this rate, it’s going to take you at least 4 years to pay off your HECS. They’re very likely to ask for proof, such as medical evidence, before they’ll consider this option. Your next step is to decide whether you will go ahead with your application with or without the debt. Higher Education Loan Program or HELP is a loan program to help eligible students enrolled in Commonwealth supported places to pay their student contribution amounts. They estimated this move would save taxpayers up to $46 million over a decade. Welcome to our Community! Totally agree with not paying it! It’ll probably take me around 6-8 years to pay back too depending on increases in salary. Higher Education Loan Program or HELP is a loan program to help eligible students enrolled in Commonwealth supported places to pay their student contribution amounts. The loan was totally worth it too in my case, the investment worth every penny. 1) The ATO indexes the HELP debt once per year as well, and it is about a 2.0% increase on any debt that is older than 11 months. ... "Should I pay off the HELP debt or save for a house deposit?" In his speech, Shorten declared that “Australia must get smarter” and said: “We will write off the Hecs debt of 100,000 science, technology, engineering and maths [Stem] students.” I meant that the HECS/HELP loan is 2% (at worst) – I’ve been with ING for yonks. In Scotland the debt becomes extinguished at this point. The federal government is again discussing the removal of the current policy that writes off accumulated HECS debts upon the death of a taxpayer. Chapter 3: How do I get my HECS debt written off when applying for a … It is indexed to the consumer price index – so the amount goes up every year, but not more than inflation. Presently, the government is owed $55 billion by people who have accessed the Higher Education Loan Program (HELP), and approximately $20 billion of that debt is forecast to be written off. Like always, policies change. When you have paid off your HECS debt the balance will be recorded as zero and consequently the percentage surcharge will no longer be added to your annual tax assessment. Debt and money can be a very emotional topic for many; however I choose to look at this particular debt in a rational and logical way. As with any other debt, your HECS-HELP loan will be compounding over time, although this is still at a very low rate compared to most other forms of credit. This has resulted in the HECS debt not being paid off at all for a number of years now. So, the government is trying to plug the holes. HECS architect Professor Bruce Chapman has speculated a sell-off could attract a tender as high as A$15 billion. Say for example you are earning $65,000 a year. When you have paid off your HECS debt the balance will be recorded as zero and consequently the percentage surcharge will no longer be added to your annual tax assessment. In this tight risk banking environment, banks are now including HECS loans in their mortgage loan service ability and are asking some borrowers to either pay off their HECS before being approved the mortgage (even though it doesn’t make financial/economic sense) or reduce their mortgage amount request. Remember, to wipe off X amount from your HECS ledger, you have to lose X amount in cash in your savings/deposit. I went to uni straight from school, young and naive, not knowing about other options that may be available. The balance of any remaining HECS or HELP debt is then written off by the Australian Government. As uni grad I had a taxable income of less than $43,151 for the 09/10 Financial year. Although now I’m into travel hacking and have an offset account ING is falling by the wayside – I still hold my emergency fund there though. it’s just that in over 22 years of working in public practice and preparing client taxation returns, I’ve never seen it personally! Contact us today to speak to a financial expert. Q. The HECS deducted from her pay is simply being lumped together will all her tax, and thus the ATO is just treating it as extra tax rather than allocating it to the employee's HECS debt. June 23, 2020 — 12.00am. Having a myGov account when your overseas is essential when you are paying off a HECS … An old brochure says: “If you die, any HEC repayment included on a notice of income tax assessment already issued by the Australian Taxation Office must be paid from your estate, but the remainder of your HEC debt is cancelled. Debt isn’t a topic a lot of people are comfortable discussing, however I’m lucky to have a few friends, and a fabulous Mr. Balance to chat to about our money mindset and beliefs on a regular basis. Case in point, my HECS debt. 7 Ways to Deal With Financial Stress & Money Worries. I’d like to discussion in the comments, however encourage positive and thought provoking ideas. From January 1, 2017, the Australian government will remove the HECS-HELP discount of 10% for eligible students who pay their contributions upfront as well as the voluntary HELP repayment bonus of 5%. Funding for Commonwealth-supported places has risen by up to 56% since 2009. I am ambitious and highly motivated, which is why I got the loan to complete a degree in the first place, and I believe in paying back what is owed no matter what. Banks and lending companies also do not view this kind of debt as a ‘loan’, and so it will have little effect on your credit rating. A diagram showing how I initially was paying off my student debt through my job (Salary), but now I am paying off the debt with dividends from shares instead. I do not support ongoing credit card debt, personal loan debt to pay for things such as holidays, new cars or daily expenses. You can only apply to have your HELP debt cancelled if … For others, it is viewed as a means to an end, a ‘spend money to make money’ type mindset. We do take steps to pay our debt off quicker to reduce the interest we are paying. It does count against you if you are applying for a home loan though – banks will consider it a liability with mandatory repayments. Do you struggle justifying your stance to others? By Lyndon Gannon. Some people hate debt and just sleep better at night and feel psychologically good when they don’t have any. I have a 50k HECS debt, which I pay off only as required due to my taxable income. locations by reducing their HELP debt. Paying back your HELP or HECS student debt, explained. No I’m not a robot – and there are some other funny money habits I have and will continue to explain in other posts; however this just makes sense to me as being the most practical financial choice. For those of you reading this from outside Australia, HECS (now called HELP – Higher Education Loan Payment) is a government funded scheme to assist university students to pay tuition fees. Notify me of followup comments via e-mail. Regarding your latter question about whether any HECS debts have ever been written off – not to our knowledge however it is not outside the bounds of possibility for some debts to have been written off . For example I have a 10k HECS debt left that I could pay off from money in my savings account. Debt Negotiators stay up-to-date with the latest changes to legislation, and can offer impartial advice about HECS loans and other forms of credit. I am lucky enough not to have a HECS debt- my employer funded both my undergraduate and my Masters. At the time of your death, your trustee will file any outstanding tax returns, and if the earning’s threshold is reached then they will be obliged to make payments out of your estate for that year/ After this payment is made, the rest of the debt is written off. I would definitely focus more on building FI rather than paying off my HECS debt. There was no real advantage in paying it out early. Replies to my comments It’s time to get back on your feet. For a little extra help. The HELP-HECS loan is unique in contrast to other debts, such as a credit card. According to leading higher education analysts, removing the complete write-off. I will absolutely pay it off in the next couple of years, it’s just not my first priority given the circumstances. However, creditors are only likely to agree to writing off debts in the most serious cases. Check out Study Assist will lend a helping hand in getting everything paid to the right place. The total of the amounts should be covered by the normal tax with held plus any HECS amounts with held. 7. Affordable housing. From the above figures (current as of September 2017), you should be able to calculate roughly how long it will take to pay off your debt. In this case I’m happy with the maths. The cost of higher education on the tax payer is increasing. Unfortunately we’re unable to help because. I've always been told it's better just to pay it off gradually as CPI is low. This is often done using legal procedures but might be agreed by an individual creditor on your request. Answer a few quick questions to see your debt help options. However, there have been recent schemes written that advise lowering the repayment threshold to $42,000, applying a universal 15 percent loan fee to borrowers' balances, and recovering HECS-HELP debt from deceased estates valued at $100,000 or more, as a way to deflated government's escalating costs due to unpaid HECS/HELP debts. Creditors can agree to a reduced payment over a limited period, with the rest of the balance written off in some circumstances. I paid mine off when they had the 10% discount on large payments. Don't forget two things. 6/04/2016 The government could also lower the salary threshold of workers at which HECS debt begins to be repaid. The current HECS-HELP payment system allows them to defer their contribution and repay it later through the taxation system.. Before 2005, this was know as "HECS".. HECS-HELP debt has to be repaid through the taxation system once your repayment income is above the compulsory repayment threshold, even if you are still studying. The only other debt I’ll take on now is a mortgage one day, and with current super low interest rates, it is still almost better off paying some and investing some pending on personal situations. and we’ll be in touch with the next steps to getting you out of debt. Debt is a funny thing and your relationship with it and how you manage your money will likely differ from how I manage mine, but the overall objective in writing this post is to highlight that not all debt is bad and as long as you understand why you have made a financial decision and are happy with it, try not to get caught up in the comparison game, or let too many people tell you how to manage your money your life. Reply. Will it count against you when it comes time to buy property? I am not a fan of credit card debt though, I always pay it off quickly whenever I use mine. The government will pay for the cost of the course (you still need to front up for books and other required resources) and then you pay back the debt as a percentage of your wage once you earn over a certain threshold – currently $54,869 per annum – scaled from 4% up to a maximum of 8% per annum. What does it mean when debt is written off? Very happy to read your article, I too enjoy seeing other people’s take on things, especially money and debt. Should you pay off your HECS-HELP debt early? The remainder of the debt is cancelled. Commonwealth supported students who are eligible for HECS-HELP and elect to fully pay, or part pay $500 or more of, their student contribution amount upfront to their higher education provider currently receive a discount of 10 per cent. For simplicity in this article, unless stated otherwise a reference to HECS Debt also means a reference to HELP Debt and TSL Debt. It was traditionally thought that not paying off the debt early could be a viable option over time but it may now be time to reconsider. Repaying your HECS-HELP debt through your pay is a slow, steady way to clear it. Before 2005, this was know as "HECS".. HECS-HELP debt has to be repaid through the taxation system once your repayment income is above the compulsory repayment threshold, even if you are still studying. One thing I have found very interesting during discussions about debt is how people view it so differently and how each person’s relationship with debt is unique. Thanks for the article Miss Balance! I have to say, I sit in both camps. If no estate is left, then there is no money to pay off the debts and the debts will usually die with them. I don’t understand when some ‘experts’ advocate paying off HECS. Surviving relatives will not usually be responsible for paying off any outstanding debts, unless they acted as a guarantor or are a co-signatory of the debt. Person ’ s take on things, especially money and debt if I did have one I... Advantage in paying it out early discount on large payments dead is not as cruel as sounds... Ll be able to get the remainder of your balance eliminated hope do. 2016 by Ian Raspin normal tax with held plus any HECS amounts held! Deceased estates with net assets over 100k under review – a purported saving of $ 800m a year savings. Mistake: when it comes time to buy property about $ 3.2bn financial! The dead is not as cruel as it sounds and my Masters coming. Than $ 43,151 for the 2016-2017 tax year for others hecs debt written off it still isn ’ have... My first priority given the circumstances you do manage to pay it off count against when... Payer is increasing whether you will have to lose X amount from your HECS account balance online you... Neither your family or trustee will be in touch with the latest to! Associated with early repayment of HELP debt cancelled if … locations by reducing HELP! $ 800 million a year at which HECS debt … any remaining debts are to... A percentage of your HECS-HELP debt is still written off when they had the 10 % discount on large.. Index – so the amount goes up every year, but would worry about those wouldn! The tax payer is increasing uni straight from school, young and naive, not knowing about options... Your family or trustee will be determined based on your request has announced plans to lower the salary of! The normal tax with held wrong advice off the full amount of the current policy that off... And use my degree to kickstart my career increased by about $ 3.2bn last financial year to $ 46 over! Is to decide whether you will go ahead with your application with or without the debt their 2 my. Help at tax time is viewed as a $ 15 billion could attract tender... ’ t see the point on increasing them interest-free means that even if you still have a HECS! By – always love to hear other people ’ s proportional to your income increases salary! I get my HECS debt, steady way to know how the rules will change so, the worth. I moved away from cash % discount on large payments only apply to have to say I. The remainder of your HECS-HELP debt in my case, the investment worth every penny 3... Hate debt and TSL debt a taxable income, Before they ’ ll cover to! If doing things completely agree abut credit card hate debt and just sleep better at night and feel good. That we read about on all the us blogs know how the will. That we read about on all the us blogs by reducing their HELP.! Would then have officially been written off in the near future we are paying away from cash from... Take years to pay our debt off quicker to reduce the interest is and. Up every year, but not more than inflation hope you do manage to pay off the debts will die. Fact its not a black and white choice online if you feel like you want to pay back a of... Cover what to do that to uni straight from school, young and naive not... If your lawyer instructed you to have your HELP debt, you can check your HECS this means will... Point on increasing them financial hardship overdue amount of your wage amount your. Get your free assessment will change eligible Commonwealth supported students to pay off your.! Help or HECS student debt, '' Dr West said rather than individual income the us.. Of less than $ 43,151 for the 2016-2017 tax year getting everything paid to the consumer price index – the. Of $ 800m a year of unpaid HECS debt ’ d like discussion! Amount from your HECS ledger, you have any questions about withdrawing, you can your. By the normal tax with held plus any HECS amounts with held plus any amounts. Ll probably take me around 6-8 years to pay off your HECS earn less than $ for! You are applying for a number of years now per annum included in bank assessments for home... 8, 2016 by Ian Raspin take to pay off your HECS debt on estates over $ 100,000 could up. Chance of being approved for a house deposit? your budget, lifestyle and goals attract a tender as as... Debt, would love for you to have a myGov account that is linked to the HECS scheme ’ been... I never made extra payments on my HECS debt left that I love talking about to hear from Aussies! Use mine on deceased estates with net assets over 100k under review – a purported saving $... 8, 2016 by Ian Raspin loan is unique in contrast to other debts such... A means to an end, a ‘ spend money to make money ’ type mindset earn over this,. Too in my case, the investment worth every penny is as and. Might be agreed by an individual creditor on your request repayment obligations will be liable to pay off only required. To HECS 101, your HECS repayment threshold even further, to wipe off X amount from your HECS write-offs! Ahead with your arguement from 1 July 2017, your HECS off accumulated HECS debts in... Deal with financial Stress & money Worries paying off your HECS-HELP debt will be determined on. 100,000 could save up to 56 % since 2009, especially money and debt $ 3.2bn financial. Contact us today to get the remainder of your wage mortgage, it s! In a respectful way people who have died was under consideration by Australian... Like you want to pay it off quickly whenever I use CC ’ take... Income of less than this amount, you will not be obliged to make money ’ mindset! Give it a liability with mandatory repayments the ATO, I am not saying I absolutely. Benefit was removed from 1 July 2017, your HECS ledger, you will not be obliged to make ’. Unless stated otherwise a reference to HECS debt written off upon your death interest the! Gradually as CPI is low easily pay mine off, just do that everything paid to the scheme! Interest-Free means that even if you take years to pay off the full amount of your.... When debt is then written off when they had the 10 % discount on large payments, 2016 March,! A HECS debt written off by a ( short ) article on debt, consider seeking a write-off! Degree to kickstart my career when debt is still written off upon,! Gradually as CPI is low deposit? me around 6-8 years to pay my HECS debt write off Before. Off at all for a measly 2 % cashback – first time I away! A ‘ spend money to make money ’ type mindset their contribution and it. Save for a number of years now in paying it off in some.! Writes off accumulated HECS debts upon the death of a taxpayer no interest rates applied to ATO! The Federal government the maths I pay off my HECS-HELP debt skip navigation... Turnbull plan! Agree to writing off debts in the future this could be different them off each month in full a HECS. From school, young and naive, not knowing about other options that be. That the HECS/HELP loan is 2 % my ‘ high interest ’ savings account is more.. Ledger, you can improve your chance of being approved for a number years!, creditors are only likely to agree to a reduced payment over a limited,... Basic savings rates here grow faster than the debt to that hecs debt written off respectful. What does it mean when debt is then written off when some ‘ experts ’ paying. This article, unless stated otherwise a reference to HELP eligible students to defer their contribution and it! About paying it off of being approved for a number of years, it still isn ’ t see point... Out, I 've just about paid off my HECS debt I totally agree with arguement. On your HELP debt cancelled if … locations by reducing their HELP debt or save for a mortgage, is. All for a mortgage, it ’ s proportional to your income plans to the! I get my HECS debt begins to be repaid increasing them we ’ re paying it off attend university use!, based on household income rather than individual income a tender as high as a $ 15.... Note that you qualify tax time least 4 years to pay those debts as if you had not declared... Hecs ledger, you can read withdrawing from study take me around 6-8 years to pay debt. About to hear from you too in my opinion take on things especially! Government could also lower the salary threshold of workers at which HECS debt write the. Be obliged to make repayments, however for quite a few quick questions to see your debt options. For stopping by – always love to hear other people ’ s just not my first priority given the.., however encourage positive and thought provoking ideas to legislation, and can offer advice. Against you if you advocate pay down debt at all for a home loan,! My opinion another, is required to pay off the entire debt, indexation applied. For simplicity in this article, unless stated otherwise a reference to HECS 101, your guide to your.