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The HECS-Help benefit was created to provide an incentive for graduates in particular fields to pursue industry relevant roles and/or work in specified locations.
Taxpayers who meet the relevant eligibility criteria can apply to the Australian Tax Office for the HECS-HELP benefit and if approved, the ATO will pay a “benefit amount” up to approximately $1,950 per year.
Who is eligible to claim the HECS-HELP benefit?
Please see below for the HECS-HELP benefit eligibility criteria that you must meet to claim the benefit:
Mathematics, science or statistics graduates:
- Graduated from an undergraduate degree after 30 June 2008 in ‘a natural and physical science’ field of education course (Maths, Science, Stats),
- Employed in a related occupation such as a secondary or primary school teacher of these subjects,
- Had a HECS or HELP debt at the end of your studies,
- Still have a HELP debt in the income year you’re applying, and
- Earn above the relevant Help Repayment Threshold for the income year you’re applying.
Education, nursing or midwifery graduates:
- Graduated from an education, nursing or midwifery course after 30 June 2009 that was required for initial entry to a teaching or nursing role,
- Employed as a nurse/midwife or teacher.
- Had a HECS or HELP debt at the end of your studies,
- Still have a HELP debt in the income year you’re applying, and
- Earn above the relevant Help Repayment Threshold for the income year you’re applying.
Early childhood education
- Graduated from an early childhood education teaching course,
- Employed by a provider of childcare services or pre-school education in an Indigenous community or a rural/remote area.
- Had a HECS or HELP debt at the end of your studies,
- Still have a HELP debt in the income year you’re applying,
Please note, to claim the HECS-HELP benefit you must meet all of the eligibility criteria for whichever category you fall into. If you’re not sure, get in touch with us on [email protected] and we can help determine your eligibility.
Multiple HECS-HELP benefit claims in the same year:
Some people may meet the eligibility criteria to claim the HECS-HELP benefit under both the Education “teacher” criteria and the Early Childhood Education “rural/remote” area criteria.
If you qualify for the benefit twice, and both claims are approved by the ATO, they will pay you the benefit twice for the eligible tax year.
Please note: If you are eligible to claim the benefit under both criteria, you will need to submit a separate HECS-HELP benefit application form for each claim (e.g One for “teacher” and a second one for “early childhood in a rural area”).
How to apply for the HECS-HELP benefit:
If you’re eligible, you can apply for the benefit via the ATO using the below PDF forms.
- HECS-HELP benefit application for early childhood education teacher
- HECS-HELP benefit application for maths, science, education or nursing (including midwifery) graduates
How is the HECS-HELP benefit it calculated
The benefit amount you receive each year depends on the number of weeks you are employed in an eligible position throughout the year you are claiming. The formula is:
(Maximum HECS-HELP benefit amount for the year) (/ 52) (X the Number of weeks in the year you were employed)
If you have already made your compulsory repayment as part of your tax return lodgement, the ATO will transfer your HECS-HELP benefit to your nominated bank account.
If you’re claiming the HECS-HELP benefit as an Early Childhood Education teacher in a rural area and you are not over the HELP repayment threshold, your HECS-HELP benefit amount will be used to reduce your existing HELP debt.
Maximum HECS-HELP benefit amounts per year:
This table lists the maximum benefit amounts for each income tax year.
| Income year | Early childhood education teachers | Maths or science graduates | Education and nursing (including midwifery) graduates |
| 2015–16 | $1,918.39 | $1,798.48 | $1,798.48 |
| 2016–17 | $1,947.17 | $1,825.46 | $1,825.46 |
HECS-HELP benefit Examples:
Example 1: Worked Full Time during the year.
Jack graduated from a Statistics degree in June 2014. Jack was then employed as a Maths teacher in Brisbane for the entire 2015-16 income year and earned $65,000.
As Jack earned above the HELP Repayment Threshold he is required to make a compulsory HELP repayment on his tax return.
Once Jack submits his tax return, he also completes a HECS-HELP benefit application form which is approved by the ATO.
The benefit Jack is eligible for is calculated by:
$1798.49 (Max amount he could receive) / 52 X 52 (Number of weeks Jack employed) =
$1798.49
As Jack was working for the full tax year he is eligible for the full benefit amount and receives $1798.49 from the ATO.
Example 2: Did not work for the full tax year.
Sandra graduated from her Nursing course in December 2015. She then worked as a nurse full time from January 2016 to June 2016, a total of 26 weeks in the 2015-16 tax year.
Sandra earned a total income of $60,000 on her tax return, so she must make a compulsory HELP repayment.
After lodging her tax return, Sandra also completes a HECS-HELP benefit application form, and the ATO approves it.
The ATO calculates the benefit Sandra is eligible for by:
$1798.49 (Max amount she could receive) / 52 X 26 (Number of weeks Sandra employed as a Nurse) =
$899.25
Because Sandra was working as a Nurse for 26 weeks, she is able to claim a pro-rata HECS-HELP benefit amount, and the ATO will pay her $899.25.
Example 3: Early Childhood Teacher
Mary graduated from a teaching degree in June 2014. She then worked as an Early Childhood teacher in Alice Springs for the entire 2015–16 income year and earned $45,000.
As Mary earned below the HELP Repayment Threshold she is unable to submit a claim for the HECS-HELP benefit as a teaching graduate.
However, as Mary works in a rural area (Alice Springs), she can submit a claim for the HECS-HELP benefit as an Early Childhood Education Provider
The ATO calculates the benefit Mary is eligible for:
$1918.39 (Max amount she could receive) / 52 X 52 (Number of weeks Mary employed) =
$1918.39
Therefore, because Mary was working for the full tax year, she is able to claim the full benefit amount. Since she didn’t make a compulsory repayment on her tax return this year, the ATO doesn’t pay the amount to her but instead reduces her HELP debt by $1,918.39.
Example 4: Early Childhood Teacher earning above HELP Repayment Threshold
Tom graduated from a teaching degree in December 2013. In June 2015 he moved to Karratha to take up a position as an Early Childhood teacher for the entire 2015-16 income year and earned $63,000.
Tom earned a total income of $63,000 on his tax return, so he must make a compulsory HELP repayment.
Tom then submits a HECS-HELP benefit application as a teacher, and the ATO approves it. The ATO calculates the benefit Tom is eligible for by:
$1798.49 (Max amount he could receive) / 52 X 52 (Number of weeks Tom employed) =
$1798.49
As Tom also works in a rural area (Karratha), he can submit a second claim for the HECS-HELP benefit as an Early Childhood Education provider.
The ATO calculates the benefit Tom is eligible for by:
$1918.39 (Max amount he could receive) / 52 X 52 (Number of weeks Tom employed) =
$1918.39
Therefore, because Tom met the eligibility criteria to claim the HECS-HELP benefit as both a Teacher and a rural Early Childhood education provider, he submitted two HECS-HELP benefit claims and received approval for both.
Other important HECS-HELP benefit information:
There are time limits to adhere to
The rules with claiming the HECS-HELP benefit state that you have two years from the end of the financial year to submit your claim. This means that for the:
- 2015-16 tax year – you’ll need to submit your claim before 30 June 2018
- 2016-17 tax year – you’ll need to submit your claim before 30 June 2019
ATO won’t accept late applications and if you’re eligible for the HECS-HELP benefit, you can only claim a total of 260 weeks (or full years of the benefit). This 260 week limit is also subject to meeting the other eligibility requirements.
Remember the 2016-17 tax year is the last year the HECS-HELP benefit will be available.
If you have any questions about the scheme please don’t hesitate to get in touch with us on [email protected] or leave a comment over on our Facebook page.
