HECS Up Front Payment Deduction of 20% being cut to 10% (1 Viewer)

[Red_John]

Up until this point i've been paying upfront for my units, as i'm a good saver and think a 20% discount is too good to miss. The government is cutting the upfront payment discount to 10% from this coming semester.

Just curious who has been paying there units upfront and will you continue paying upfront when the discount is reduced?

 

[Equity]

Up until this point i've been paying upfront for my units, as i'm a good saver and think a 20% discount is too good to miss. The government is cutting the upfront payment discount to 10% from this coming semester.

Just curious who has been paying there units upfront and will you continue paying upfront when the discount is reduced?

hey newbs, why u asking accounting question for.

I am number one at accounting , got 93 for accounting 1A last sem.

 

[Red_John]

Again i don't see the relevence of your reply to this post.

 

[zombie omie jay]

if you can afford it, its always a good bet to pay upfront but 10% isnt much and with your projected future earnings and inflation, it might be better to defer payment until you are earning more as it will be easier to pay then?

 

[Red_John]

if you can afford it, its always a good bet to pay upfront but 10% isnt much and with your projected future earnings and inflation, it might be better to defer payment until you are earning more as it will be easier to pay then?

Yeah, i've pretty much decided to hecs debt from next semester, at least i've paid for half of my degree up front.

They do index the debt to CPI each year so you are paying about 3.5% Interest/Inflation adjustment on the debt. In the bank i can get 6.5% and yeah your projected earnings is a pretty big factor to consider, i'm thinking i'll do an honours year and then do my masters in finance so won't be earning for awhile, so yeah i'm thinking i should defer.

 

[seremify007]

Subsequently when you are under the HECS debt and wondering whether to make voluntary payments or let them garnish your salary, it's also worth considering the timing of voluntary payments so that you get it in before your Notice of Assessment from the ATO comes through and forces you to make payment without the bonus.

I personally went in for the kill with the credit card to get the QANTAS points even though I had to pay a (pretty reasonable surprisingly) credit card surcharge which was less than the value of the points.