Student loan deductions, explained

For a main job, student loan deductions normally apply to earnings above the repayment threshold for each pay period. The annual threshold used for the 2026/27 year is $24,128, and the repayment rate is 12% above that threshold.

A simple annual example

For steady annual earnings of $60,000, the annualised estimate is ($60,000 − $24,128) × 12% = $4,304.64. This is a planning estimate; payroll operates on the relevant pay-period threshold.

Secondary jobs have different treatment

A secondary job generally has student loan deductions on all its earnings rather than a second main-job threshold. This tool assumes one main job. Do not enter your second-job salary alone and treat the result as an exact payroll calculation.

Other circumstances

Repayment exemptions, special deduction rates, changes in earnings and overseas-based obligations are outside this calculation. It does not predict a repayment date because your balance, residency and future income also matter.

Use the salary calculator to view student loan repayments alongside income tax, ACC and KiwiSaver. Check your tax-code declaration and the Inland Revenue guidance when your work situation changes.

Official sources & methodology →