Crying this EOFY. Anyone else?

[starbrite1]

26F, working 2 jobs, 7 days a week.
Opened ATO to see $18k tax withheld - initial thoughts “ok maybe I’ll get a little back”, then proceeded to have a mental breakdown after seeing estimated tax amount owing of $6.3k.
Compulsory Higher Education Loan repayment being $4.7k. Really feeling that 7.1% indexation increase.
Makes me really think why am I grinding so hard to have all my money eaten away.
Honestly haven’t saved much this year, after rent, bills and groceries what’s left?
Dream of owning a home is well, a dream especially after paying that off.
Ranting here in despair. Sorry a bit all over the place.
Will probs get an accountant to see if there’s anything they can do to save me or give advice for the new year.

 

[lindseym1013]

@starbrite1 The HECs indexation has no impact on your HECs payments, so you aren’t “feeling” it.

HECS payments are based on a % of your income not the HECs balance

I.e
Person 1 has a salary of 80k and hecs balance of 10k pays the exact same amount each year as person 2 who is a salary of 80k and a hecs balance of 100k

Why your HECs bill is so high is probably due to the example scenario below.

If you have 1 job earning 60k your employer would take out 2% for HeCs

If the other job earns 40k your employer takes nothing out

But your annual income is 100k so you owe 6%

Adjust this example to your own numbers.

Thats why you have a big bill.

 

[llg06]

@lindseym1013 Surprised I had to scroll down this far to see someone make this comment… obvious that OP has just been underpaying tax across both jobs and nothing to do with indexing of HECS.

 

[rororo]

@lindseym1013 Yep indexation does nothing to repayments it's all about her repayment income. Her employers have just not withheld enough.

 

[thegreenhat]

@rororo So the 7.1% indexation will not increase the amount of debt you have if you are still in college? I have a 25k debt and am considering getting a part time job to pay it off. I was thinking of trying to work and pay off as much of it off because I was worried about the debt increasing every year.