Jason is a sole trader in the architecture industry Jason recently hired a 3D model designer, Sarah, to help him with the growing business At the end of the year Jason has provided the following information Sales revenue $ 280,000 Wages (Sarah) $ 52,500 Other deductible expenses $ 112,500 Net income before tax $ 115,000 Last week Sarah worked for 35hrs at $30 an hour She claims the tax free threshold and is paid weekly She was deducted $179 for PAYG (Using the current tax tables from the ATO) If Sarah discloses that she has an outstanding HELP loan balance, should Jason deduct more from her pay If so, how much extra should be deducted for HELP repayment from her pay for the week ATO website https www ato gov au rates help, tsl and sfss repayment thresholds and rates Minimum repayment threshold for HELP debt $51,550 Sarah's repayment income (RI) Repayment rate 1 Repayment amount to be deducted PAYG with HELP $190 190 179 $11 additional deduction Notes 52,500 x 1 $525 I would like to ask your assistance in determining Sarah's repayment income (RI), as the feedback from my assessor was simply Please review your answer for RI Thank you

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Posted on Jul 01, 2024

Jason is a sole trader in the architecture industry. Jason recently hired a 3D model designer, Sarah, to help him with the growing business. At

Jason is a sole trader in the architecture industry. Jason recently hired a 3D model designer, Sarah, to help him with the growing business.

At the end of the year Jason has provided the following information:

Sales revenue:	$ 280,000
Wages (Sarah):	$ 52,500
Other deductible expenses:	$ 112,500
Net income before tax:	$ 115,000

Last week Sarah worked for 35hrs at $30 an hour. She claims the tax-free threshold and is paid weekly. She was deducted $179 for PAYG. (Using the current tax tables from the ATO).

If Sarah discloses that she has an outstanding HELP loan balance, should Jason deduct more from her pay? If so, how much extra should be deducted for HELP repayment from her pay for the week?

ATO website:https://www.ato.gov.au/rates/help,-tsl-and-sfss-repayment-thresholds-and-rates/

Minimum repayment threshold for HELP debt =	$51,550
Sarah's repayment income (RI) =	???
Repayment rate =	1%
Repayment amount to be deducted =	PAYG with HELP = $190 190 - 179 = $11 additional deduction
Notes: 52,500 x 1% = $525

I would like to ask your assistance in determining Sarah's repayment income (RI), as the feedback from my assessor was simply "Please review your answer for RI"

Thank you~!