Do you remember when you used to get a nice discount when paying for your HECS or HELP fees, whether it be upfront or as a voluntary repayment? That discount has been dropping over the past few years and subject to it being passed through parliament, the discount may be scrapped come 1 January, 2014.
The government has stated that the only people to be affected will be “those students that can afford” to either pay their uni fees upfront, or people who can afford to make voluntary repayments above the annual repayments through the PAYG tax system. Essentially, if you ever wanted to get the discount for paying for HELP fees up front or making a voluntary payment later on, you’re deemed as one of the “people who can afford” it and therefore, don’t need the discount.
Of greater importance, however, is should you be contemplating paying for your uni fees now, or making a voluntary payment should this new legislation come through? If you’re asking yourself a question like that, there is a good chance you need to take a broader look at your finances and work out if you should be saving to pay off your uni, or saving to buy some shares or your first property.
Consistently ranked one of Sydney’s top financial planners (Adviser Ratings), Brenton helps his clients life a great life by making the most of their money. Read his full bio here.
