How does the postgraduate loan repayment calculator work?

As an example, if you are earning £2,500 a month before tax, you will repay 6% on the difference between your earnings and the threshold, which in this case is £750. (£2,500 - £1,750 = £750). This works out at £45 a month, which will be your monthly postgraduate loan repayment. If you already have a student loan from your undergraduate study you will need to repay both loans simultaneously. For example, if your undergraduate study started after 1 september 2012, you will repay 9% of your income over £21,000 towards your undergraduate loan and 6% of your income over £21,000 towards your postgraduate loan. That's 15% in total. The table below will gives examples of monthly repayments based on income:.

If you finance your course using a government-backed student loan from student finance england then you’ll be due to start repaying your loan through your employer’s pay as you earn (paye) system. You’ll start repayment in the april four years after the start of your course or the april after you leave your course – whichever comes first. However, you’ll only start making repayments if you’re in work and your income is more than £21,000 a year (for postgraduate loans) or £27,295 (for undergraduate loans) and any outstanding balance will be written off after 30 years. If your income falls below the repayment threshold, your repayments will stop and only restart when your income is over the threshold again.

Postgraduate loan repayments deducted by your employer progress through your tax return, until you reach the screen working out your tax tick the box do you have a student loan and/or postgraduate loan? next step to the screen student & postgraduate loan repayments select the plan type from which student loan repayment plan are you eligible for? for loans under both plan 1 or plan 2 or plan 4, you must select plan 1 as hmrc’s calculations only allow for one plan type. The slc will then allocate repayments as required to both loans. And/or tick the box do you have a postgraduate loan? notes: complete the tax return as required using the navigation menu to select sections.

You begin to repay postgraduate loans from the first april after the course ends (or following withdrawal). Students who are studying a course of three or four academic years will enter repayment in the april following the second academic year and so will still be studying and making repayments. Currently, you pay 6% of any income you earn over £21,000 a year. This is taken directly by your employer or paid through self-assessment via hmrc. If you work overseas, the income threshold may be different. Payments from overseas are made directly to the student loans company. You continue to repay any other student loans you have at the same time.

Let us help you find a Masters

From 2021/22 welsh-resident students will be able to apply for a combination of a loan and grant of up to £17,489 for courses studied at uk universities, which you can use towards your course and living costs. You can apply online through the student finance wales portal, or visit findamasters. Com for more information.

What about PhD loans?

Postgraduate loans are available for most masters courses (ma, msc, llm, mba, mres, mem or mphil) including distance learning courses and part-time courses, subject to government eligibility criteria. They are not available if you apply for a postgraduate diploma (pgdip) or postgraduate certificate (pgcert). These loans are not available for phds and not available if you receive an nhs bursary. You won’t be able to get the loan if you already have a qualification which would be an equivalent level or the masters you are applying for is at a lower level than a qualification you have already taken.

When will my postgraduate loan repayments start?

The loans have an interest rate of rpi + 3%. Interest is charged from the day the first payment is made to you until the loan is repaid in full. Repayments start the april after you finish or leave your programme of study. However, no payments will be taken before april 2021. You will only start making repayments once you're earning over the threshold. These will be automatically deducted from your salary each month at a rate of 6%. If you're paying back any other student loans administered by the slc, then these will be deducted at the same time, meaning you'll pay 15% of your monthly salary above the threshold towards your student loans (see box below).

Date repayments started - enter the date the repayment started if it falls within the current tax year. Date loan repaid - enter the date the loan was repaid (or 5/4/end of tax year if the client has been notified by the student loans company that the loan has been repaid in full). Applies to this year - tick this box if the date started is not known, tick the box if repayment may apply during the year. Iris will compute the amount of repayment and take into account the exempt amount.

The loans are available for postgraduate masters courses on a part-time study basis. Courses may be 2 to 4 years lasting no longer than twice the length of the full-time equivalent course. Part-time courses may also be 3 years, where no full-time equivalent course exists. For courses that started in september 2016 all payments will be made over the first two years of study where courses last more than 2 years. For courses starting in or after august 2017 equal payments will be made across each year of the course. Courses with a flexible duration may or may not be eligible depending on a number of criteria.

A loan is available from the government for applicants to postgraduate master's degrees. The loan is non-means tested and can be used towards tuition fees, maintenance costs or a combination of both. If you have been unsuccessful in securing funding though a scholarship, bursary or grant you might want to consider applying for a loan to help fund your postgraduate studies. The applications for the 2022-23 academic year, will open in summer 2022 and will be published on the government's website for student finance. If you are starting your course in september 2022, you could receive up to £11,836.

How will postgraduate loan repayments be taken?

You have to make repayments on your postgraduate loan when you earn above a certain threshold. For those who took out their loan while living in england or wales, this threshold is £21,000 (or £1,750 per month / £404 per week). Above that amount, 6% of your earnings go towards loan repayments. If you’re in scotland or northern ireland, there’s a different threshold. There, postgraduate loans are treated in the same way as student loans. If you’re making repayments but don’t think you should be, it’s best to get in touch with the student loans company directly.

Since 1998 income-contingent student loans have been collected through the tax system, unless the borrower goes abroad for longer than three months, in which case they need to contact the student loans company (slc) directly to arrange repayments (if appropriate). It is crucial that the correct type of loan is identified and there is a tool on the slc website that helps with this. For example, current postgraduate loans in scotland and northern ireland are treated as plan 1 loan types, and so do not follow the new postgraduate loan repayment rules detailed below. Uk employers deduct student loan repayments through the paye system based on information provided by their employee, although hmrc will send employer prompts if they think incorrect deductions are being made.