Three million Australians could save up to $1,300 each year as a result of changes introduced to student loan repayments, economic experts say.
Education Minister Jason Clare said last Saturday that the government would raise the salary cap related to debt repayment in the 2025-2026 financial year.
Accordingly, starting July 1st of next year, student loans will have to be repaid only when a salary of $67,000 per year is earned.
That salary cap currently stands at $54,000 a year.
According to government records, a person earning $70,000 a year will see their mandatory payment drop by $1,300 a year under the new changes.
The annual student loan deduction for someone earning $80,000 is $850, $600 for $90,000, $550 for $100,000, and $700 for $110,000.
People earning more than $180,000 a year will have no change in their loan repayments.
The government has announced that these payment changes will cover Australian Apprenticeship Aid loans and all other student aid loans.
