If you took out a Student Financial Supplement Loan between 1993 and 2003, you will have an amount to repay if your repayment income is greater than the thresholds in the table below.
The repayment income is your taxable income plus any net rental losses, total reportable fringe benefits amounts, reportable superannuation contributions and exempt foreign employment income.
Hopefully you have told your pay office that you have the debt so that they can take extra tax out on your behalf to cover your obligations. For the 2008 – 09 year your employer will start withholding SFSS if your wages exceed $863 per week.
Unfortunately with the SFSS there is no provision to make any voluntary payments.
At the end of the year when you do your tax return, based on your repayment income the ATO will calculate how much SFSS will need to be paid
The SFSS that is calculated and the extra tax that has been taken out of your wages by your pay office is in most cases enough to offset each other.
2010 – 11
|Repayment income||Repayment rate|
|$78,274 and above||4%|