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HELP student loan repayments

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Newbie

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Hi, I’m wondering how long it should take for my student loan to decrease after I have submitted my tax return. I note that once your income tax file is lodged I should notice a lump sum decrease off my student loan.

I have lodged my tax return and received my tax rebate a few months ago, however nothing has come off my student loan yet. I assumed once I lodged and received my tax back, this should have been calculated and reduced. How do I check what has happened? How long should this take after lodging?
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ATO Certified

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Hi @ficus,

 

Thank you for contacting us.  Your HELP balance should be updated once we finalise your tax return. I would recommend that you check your Notice of Assessment (NOA) for your taxable income & for any HELP compulsory repayment.  You can obtain a copy of your NOA on the ATO link in myGov.

 

Your compulsory repayment is based on your income. For the 2019 financial year, it is $51,957 which means if your income is below this amount you won’t have to pay back your HELP loan yet. You can refer to this page for the repayment thresholds.

 

Check for HELP compulsory repayment on your NOA as well, if there is none, that means you were not assessed a compulsory repayment and any amounts which was withheld by your employer was refunded back to you (included in your tax refund).

 

Hope this helps.

 

HazelC

2 REPLIES 2
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Best answer

ATO Certified

Community Support

Replies 0

Hi @ficus,

 

Thank you for contacting us.  Your HELP balance should be updated once we finalise your tax return. I would recommend that you check your Notice of Assessment (NOA) for your taxable income & for any HELP compulsory repayment.  You can obtain a copy of your NOA on the ATO link in myGov.

 

Your compulsory repayment is based on your income. For the 2019 financial year, it is $51,957 which means if your income is below this amount you won’t have to pay back your HELP loan yet. You can refer to this page for the repayment thresholds.

 

Check for HELP compulsory repayment on your NOA as well, if there is none, that means you were not assessed a compulsory repayment and any amounts which was withheld by your employer was refunded back to you (included in your tax refund).

 

Hope this helps.

 

HazelC

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ATO Certified

Community Support

Replies 0

Hi @ficus 

 

Welcome to ATO Community.

 

A compulsory repayment amount on your student loan is only applied if your repayment income is above $51957 in your 2019 tax return.

 

If you have a loan when you lodge your tax return and your repayment income is above the minimum repayment threshold, we will work out your compulsory repayment and include it on your notice of assessment. This will occur even if your tax return is for an income year before you started studying.

 

If a compulsory payment is showing on your NOA the balance of your loan account will show a reduced balance immediately it has been processed.

 

Your repayment income is calculated using the following amounts from your tax return and payment summaries:

  • taxable income – not including any assessable First Home Super Saver (FHSS) released amounts
  • any reportable fringe benefits (regardless of the exempt status of your employer)
  • total net investment loss (which includes net rental losses)
  • reportable super contributions
  • any exempt foreign employment income amounts

For more information on the above see link: Study and training load repayment thresholds and rates.

 

Hope this information helps.

 

Regards

DebC

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