HECS-HELP explained

If you’re thinking about studying at an Australian university in a Commonwealth Supported Place (CSP), HECS-HELP could be your best financial ally. This government loan program helps eligible students cover their student contribution amounts without paying upfront—making education more accessible and less stressful.

In this guide, we break down how HECS-HELP works, who qualifies, how repayments are calculated, and what you need to know for the 2025–26 financial year.

What Is HECS-HELP?

HECS-HELP is a loan scheme provided by the Australian Government that allows eligible students in CSPs to defer payment of their student contributions. Instead of paying upfront, your tuition fees are paid by the government directly to your education provider, and you repay the debt through the tax system once you begin earning above a certain income threshold.

Unlike traditional loans, HECS-HELP doesn’t charge interest. However, the debt is indexed to inflation annually to maintain its real value.

Learn more at StudyAssist.gov.au.

Am I Eligible for HECS-HELP?

To access HECS-HELP in 2025–26, you must meet the following requirements:

• Be enrolled in a Commonwealth Supported Place (CSP) at an approved Australian university or higher education provider
• Be an Australian citizen or permanent humanitarian visa holder (or eligible New Zealand Special Category Visa holder)
• Submit a valid Request for Commonwealth Support and HECS-HELP form by the census date
• Have a valid Unique Student Identifier (USI)

Your education provider can confirm if your course is eligible and guide you through the application process.

Check official eligibility criteria

How and When Do I Repay My HECS-HELP Debt?

You’ll begin repaying your HECS-HELP debt once your taxable income reaches the **repayment threshold**, which is $56,156 for the 2025–26 financial year.

Repayments are automatically deducted via the ATO’s tax system. The percentage you repay increases with your income. Below are the official rates:

2025-26 HELP Repayment Rates

Repayment income (RI) thresholds	Repayment rate (% of repayment income)
Below $56,156	Nil
$56,156–$64,837	1.0%
$64,838–$68,726	2.0%
$68,727–$72,851	2.5%
$72,852–$77,222	3.0%
$77,223–$81,855	3.5%
$81,856–$86,766	4.0%
$86,767–$91,973	4.5%
$91,974–$97,491	5.0%
$97,492–$103,341	5.5%
$103,342–$109,542	6.0%
$109,543–$116,115	6.5%
$116,116–$123,081	7.0%
$123,082–$130,466	7.5%
$130,467–$138,294	8.0%
$138,295–$146,593	8.5%
$146,594–$155,388	9.0%
$155,389–$164,711	9.5%
$164,712 and above	10%

The more you earn, the more you repay—but remember, repayments are scaled to ensure affordability as your income grows.

Is Interest Charged on HECS-HELP?

No interest is charged. However, your loan is subject to annual **indexation based on the Consumer Price Index (CPI)**. For 2025, the indexation rate is 3.2%, applied on 1 June each year to any unpaid debt.

This means your loan keeps pace with inflation, but you’re not charged compound interest like a traditional loan.

How to Apply for HECS-HELP

Once you enrol in a CSP course, your education provider will guide you through submitting the appropriate HECS-HELP form. You’ll need to provide:

• Your Tax File Number (TFN)
• Your Unique Student Identifier (USI)

Make sure to complete this process before the census date for each unit of study—otherwise, you may be liable for the full cost upfront.

Need Help Choosing a HECS-Eligible Course?

HECS-HELP applies to a wide range of degrees, especially in fields like education, health, IT, and engineering. At StudySelect, we connect you with high-quality course options across Australia to help you make confident, informed choices.

Explore our full course directory and compare study pathways that suit your goals and lifestyle.

HECS-HELP is one of the most powerful tools for unlocking tertiary education in Australia. Whether you’re just starting out or returning to study, it makes it easier to focus on learning—without the financial pressure of paying upfront. Just be sure to understand how the system works so you can make the most of your future investment.