Study and training loan repayments thresholds have changed

  • 6 October 2025
  • by BG Private
  • 1-minute read

Good news for those with study and training loans with the Commonwealth government. The minimum repayment threshold has increased and repayment calculations have changed meaning more money in your pay going forward.

The new system uses a marginal repayment scheme, replacing the previous system where the amount you paid off your student loan debt each year was based on your entire wage for the financial year.

Now, you will only pay a percentage of your wage above the minimum repayment threshold which has also increased to $67,000 – up from $54,435.

Example: Someone earning $70,000 a year will now pay about $100 less per month, meaning an extra $1,300 in pay per year.

The average debt holder is expected to see a $680 increase in their pay per year as a result of these changes.

This change is in addition to the 20% reduction on HECS‑HELP debt as they were at 1 June 2025.

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