Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Income threshold for student loan repayments

Income threshold for student loan repayments and interest write-offs to rise

Income thresholds for student loan repayments and interest write-offs will rise again from next April, Revenue Minister Michael Cullen and Associate Education (Tertiary Education) Minister Steve Maharey announced today.

The income level at which borrowers must begin to repay their loans will rise from $15,496 to $15,964. The income level under which part-time or part-year borrowers may have interest on their loans fully written off will rise from $25,378 to $25,909.

“The changes are in line with regular adjustments to the domestic purposes benefit,” the Ministers said. “The student loan repayment threshold is aligned with the domestic purposes benefit paid to people with two or more children. This is to encourage beneficiaries to take part in tertiary education, to improve their employment opportunities.”

“The interest write-off threshold sets the income level at which part-time or part-year borrowers cease to receive a full interest write-off on their student loans. It is aligned with the amount of other income beneficiaries may receive before the domestic purposes benefit is fully abated.”

“Full-time, full-year students will continue to receive a full interest write-off while they are studying, regardless of their income,” the Ministers said.

The changes were approved by Order in Council today.

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Veronika Meduna: The Kaikoura Rebuild

A Scoop Foundation Investigation

Friday will be a big day for people north of Kaikōura – and for hundreds of construction workers who are racing to reopen State Highway 1 in time for the holiday season.

By the afternoon, the South Island’s main transport corridor will be open to traffic again, more than a year after a magnitude 7.8 earthquake mangled bridges and tunnels, twisted rail tracks and buried sections of the road under massive landslides. More>>

 

BPS HYEFU WYSIWYG: Labour's Budget Plans, Families Package

“Today we are announcing the full details of the Government’s Families Package. This is paid for by rejecting National’s tax cuts and instead targeting spending at those who need it most. It will lift 88,000 children out of poverty by 2021." More>>

ALSO:

Gordon Campbell: On Defence Spending, Alabama, And Dolly Parton

The spending lavished on Defence projects to meet the risks that could maybe, possibly, theoretically face New Zealand in future is breath-taking, given how successive governments have been reluctant to spend even a fraction of those amounts on the nation’s actual social needs. More>>

ALSO:

Members' Bills: End Of Life Choice Bill Passes First Reading

The End of Life Choice Bill in the name of David Seymour has been sent to a select committee for consideration by 76 votes to 44. It is the third time Parliament has voted on the issue in recent decades and the first time such a Bill has made it over the first hurdle. More>>

ALSO:

State Sector: MPI Survives Defrag Of Portfolios

The Ministry for Primary Industries will not be split under the new government, but will instead serve as an overarching body for four portfolio-based entities focused on fisheries, forestry, biosecurity and food safety. More>>

ALSO:

Gordon Campbell: On Vulnerable Kids, RNZ Funding, And Poppy

The decision to remove the word ‘vulnerable’ from the Ministry for Vulnerable Children could well mark a whole shift in approach to the care of children in need... More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages