Help Debt Repayment Threshold 2021 Ato 2023
The Australian Government offers a range of student loan repayment and debt relief options. One of these is the HELP debt repayment threshold. This threshold is the amount of money you must earn before you are required to make loan repayments.
For the 2021-2023 financial years, the HELP debt repayment threshold is set at $45,881. This means that if you are earning less than $45,881 annually, you are not required to make any loan repayments. However, if you are earning over this amount, you must make compulsory repayments.
The amount of money you must repay is based on your income and is calculated as a percentage of your income. Currently, if you are earning between $45,882 and $126,200 annually, you will be required to repay 2% of your income. If you are earning more than $126,200 annually, you are required to repay 8% of your income.
The amount of money you repay each year is determined by the Australian Taxation Office (ATO). The ATO will collect your repayment on behalf of the government and you will receive a statement of your loan repayment each year.
The amount you are required to repay each year may change depending on your income. If your income decreases, you may be eligible for a reduction in your repayment amount. If your income increases, you may be required to make higher repayments.
If you are having difficulty making your loan repayments, there are a number of ways you can receive assistance. The government offers a range of assistance options such as income-contingent loan repayment plans and hardship provisions. You can also apply for a deferment of your loan repayments or a release of your loan.
It is important to remember that your HELP debt is a real debt and must be repaid. If you do not make your loan repayments, it will affect your credit rating and you may be liable for a penalty.
If you would like to find out more about the HELP debt repayment threshold and how it applies to you, it is advised that you speak to a financial adviser or contact the ATO directly.
Conclusion
The HELP debt repayment threshold for 2021-2023 is set at $45,881. If you are earning over this amount, you must make compulsory repayments. The amount you must repay is based on your income and is calculated as a percentage of your income. If you are having difficulty making your loan repayments, there are a range of assistance options available.