Uni and Work

[Derek Zoolander]

Originally posted by Tinker
he doesn't have to pay it back in one year - he has to earn over $35,000 and then it comes out with tax at a percentage rate....until it's paid off.

Specifically, how much is taken out (as a %)?

 

[Squeak]

Originally posted by Tinker
he doesn't have to pay it back in one year - he has to earn over $35,000 and then it comes out with tax at a percentage rate....until it's paid off.

This is the reason I find all the protests about HECS increases funny. Most of the people protesting will never have to worry about paying back their HECS debt...when are they going to make $35,000 in one year?

 

[Tinker]

Originally posted by Sporty Spice
Specifically, how much is taken out (as a %)?

I think it depends on your earning......I might be wrong but I think it starts at 3% so say you earn $35,000, you lose 3% to HECS.

It goes up from there - then again, I try not to read my HECS statements for fear of heart failure!

 

[Tinker]

Originally posted by Squeak
This is the reason I find all the protests about HECS increases funny. Most of the people protesting will never have to worry about paying back their HECS debt...when are they going to make $35,000 in one year?

$35,000 is the average graduate salary although it is still not huge bikkies. However, to really notice HECS coming out you need to earn a fair bit.

 

[Joel]

Originally posted by Sporty Spice
Specifically, how much is taken out (as a %)?

It depends on how much you earn.

http://www.hecs.gov.au/pubs/hecs2004/8.htm

How much will my repayments be?
When your HECS repayment income reaches the minimum threshold for any particular year, the ATO will calculate your compulsory HECS repayment for that year. The HECS repayment income thresholds are adjusted each year to reflect any change in average weekly earnings.

The income thresholds and repayment rates for income earned during the 2003-04 income year are:


For HECS repayment income in the range: Percentage rate to be applied to HECS repayment income:
Below $25 348 0.0%
$25 348 - $26 731 3.0%
$26 732 - $28 805 3.5%
$28 806 - $33 414 4.0%
$33 415 - $40 328 4.5%
$40 329 - $42 447 5.0%
$42 448 - $45 628 5.5%
$45 629 and above 0.0% 6.0%

Your compulsory HECS repayments increase as your HECS repayment income increases—the more you earn, the higher the repayments until your debt is repaid. Your compulsory repayment is based on your income alone - not the income of your parents or spouse. If your HECS repayment income is above the minimum threshold, you must start repaying your loan. This applies whether you are studying full-time, part-time, have just started studying or have left employment in the income year to study.

Example
Ana’s taxable income for the 2003-04 income year is $34 700. In her tax return she claimed a net rental loss on a rental property of $1 450 and had a total reportable fringe benefits amount of
$3 610. Ana’s HECS repayment income is $34 700 + $1 450 + $3 610 = $39 760. Ana’s compulsory HECS repayment is $39 760 X 4.5% = $1,789.20.


If the balance of your accumulated HECS debt is less than the calculated compulsory repayment amount, you pay only the balance

 

[TheWackedYak]

On the HECS thing...

On graduation and gaining employment, you tick YES to having a HECS debt and your employer is required to take out extra tax to cover what you may owe at the end of the fin. year through your tax return, as this is when you must repay your HECS. The thresholds are very low, with the starting point being somewhere in the mid-to-high $20000's at around 3 or 3.5% and works on an ascending scale. This sucks too, but if it the income theshold was higher, some graduates might use maintaining low earnings as a means to not pay HECS. Crazy thinking, but many believe it...

If you or your parents are in a position to pay HECS up-front, do it, man. Unlike us suckers who have CPI-adjusted increases every year (stupid growing economies!!!), you guys get a fat old discount. Yes HECS sucks, but how many of us wouldn't have got through uni without it?

If I have a full head of hair by the time my HECS debt is wiped (currently in five figures), I'll be stoked!!

Oh, and what Joel said...thanks mate!

 

[Derek Zoolander]

Cheers... I was going to put a but have since calculated and changed it to a

 

[Tinker]

Originally posted by Joel
It depends on how much you earn.

http://www.hecs.gov.au/pubs/hecs2004/8.htm

It should be noted that under the reforms passed last year the threshold has been lifted to around $35,000 so if you earn under that you wont pay HECS. I would suggest paying something though, even if it's $100 or something, just to get it out of the way.

 

[CharlieG]

Originally posted by Tinker
It should be noted that under the reforms passed last year the threshold has been lifted to around $35,000 so if you earn under that you wont pay HECS. I would suggest paying something though, even if it's $100 or something, just to get it out of the way.

Does interest apply even when you haven't reached the income threshold?

 

[Tinker]

Originally posted by CharlieG
Does interest apply even when you haven't reached the income threshold?

not sure

 

[PiedPiper]

I work full time, am at Uni part time evenings, doing 3 subjects each semester. What makes it hard?

If yr runing late, and have a tight arsed lecturer who marks you absent if yr late by 10 mins (no jokes, this guy is as dry and tight as they come, pardon the puns)

When staff members leave and you take on extra workloads......
and have to stay back and miss out on lessons that you REALLY needed to attend......

Working a job that is not in yr field of study and you feel like yr wasting yr time (but does pay the bills).

Other than that I'm going OK, how about anyone else? Do you all feel yr running on andrenaline most of the time?

 

[Tinker]

Originally posted by PiedPiper
I work full time, am at Uni part time evenings, doing 3 subjects each semester. What makes it hard?

If yr runing late, and have a tight arsed lecturer who marks you absent if yr late by 10 mins (no jokes, this guy is as dry and tight as they come, pardon the puns)

When staff members leave and you take on extra workloads......
and have to stay back and miss out on lessons that you REALLY needed to attend......

Working a job that is not in yr field of study and you feel like yr wasting yr time (but does pay the bills).

Other than that I'm going OK, how about anyone else? Do you all feel yr running on andrenaline most of the time?

sometimes I feel the same

 

[GoEagles]

Originally posted by Richmondfan#1
This is slightly off topic but anyway. Those at uni, is the workload similar to that of year 12? Do you find the work much harder and it takes up more time than year 12 studies?

I've found the Uni workload a lot easier than the workload in Year 11 and Year 12. If you can get through Year 12, you can easily get through University.

 

[TheBloods]

Originally posted by PiedPiper
Working a job that is not in yr field of study and you feel like yr wasting yr time (but does pay the bills).

Other than that I'm going OK, how about anyone else? Do you all feel yr running on andrenaline most of the time?

Ah yes, I know that feeling.

For me, I constantly wonder why I did what I did and if I should try something different. Problem is that it's difficult to break into new fields and also take the huge pay cuts involved.