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  • Coefficients to work out the weekly amounts to withhold including the study and training support loans component

    Your employee’s total withholding, including the study and training support loans component, can be calculated using the formula and coefficients stated below.

    Using a formula

    The formulas comprise linear equations of the form y = ax − b, where:

    • y is the weekly withholding amount expressed in dollars
    • x is the number of whole dollars in the weekly earnings plus 99 cents
    • a and b are the values of the coefficients for each set of formulas for each range of weekly earnings (or, in the case of fortnightly, monthly or quarterly earnings, the weekly equivalent of these amounts).

    If two employees are taxed using a particular scale (for example, scale 2) but only one of them has a study and training support loans debt, you will need to set up two separate scales in your payroll system. One scale will need to incorporate the study and training support loans component and one will not – for example, name one ‘scale 2’ and the other ‘scale 22’.

    The study and training support loans component does not apply if the employee has not provided a tax file number (TFN).

    For scales without the study and training support loans component, refer to Statement of formulas for calculating amounts to be withheld.

    Where tax-free threshold not claimed in Tax file number declaration – scale 1

    With study and training support loans debt

    Weekly earnings
    (x) less than
    $

    a

    b

    88

    0.1900

    0.1900

    371

    0.2348

    3.9639

    515

    0.2190

    -1.9003

    554

    0.3477

    64.4297

    693

    0.3577

    64.4297

    756

    0.3677

    64.4297

    822

    0.3727

    64.4297

    893

    0.3777

    64.4297

    932

    0.3827

    64.4297

    967

    0.3800

    61.9132

    1,046

    0.3850

    61.9132

    1,130

    0.3900

    61.9132

    1,219

    0.3950

    61.9132

    1,313

    0.4000

    61.9132

    1,413

    0.4050

    61.9132

    1,519

    0.4100

    61.9132

    1,631

    0.4150

    61.9132

    1,750

    0.4200

    61.9132

    1,874

    0.4250

    61.9132

    1,957

    0.4300

    61.9132

    2,010

    0.4750

    150.0093

    2,151

    0.4800

    150.0093

    2,301

    0.4850

    150.0093

    3,111

    0.4900

    150.0093

    3,111 & over

    0.5700

    398.9324

    Where employee has claimed the tax-free threshold in Tax file number declaration – scale 2

    With study and training support loans debt

    Weekly earnings
    (x) less than
    $

    a

    b

    359

    438

    0.1900

    68.3462

    548

    0.2900

    112.1942

    721

    0.2100

    68.3465

    865

    0.2190

    74.8369

    904

    0.3477

    186.2119

    1,043

    0.3577

    186.2119

    1,106

    0.3677

    186.2119

    1,172

    0.3727

    186.2119

    1,243

    0.3777

    186.2119

    1,282

    0.3827

    186.2119

    1,317

    0.3800

    182.7504

    1,396

    0.3850

    182.7504

    1,480

    0.3900

    182.7504

    1,569

    0.3950

    182.7504

    1,663

    0.4000

    182.7504

    1,763

    0.4050

    182.7504

    1,869

    0.4100

    182.7504

    1,981

    0.4150

    182.7504

    2,100

    0.4200

    182.7504

    2,224

    0.4250

    182.7504

    2,307

    0.4300

    182.7504

    2,360

    0.4750

    286.5965

    2,501

    0.4800

    286.5965

    2,651

    0.4850

    286.5965

    3,461

    0.4900

    286.5965

    3,461 & over

    0.5700

    563.5196

    Foreign residents – scale 3

    With study and training support loans debt

    Weekly earnings
    (x) less than
    $

    a

    b

    904

    0.3250

    0.3250

    1,043

    0.3350

    0.3250

    1,106

    0.3450

    0.3250

    1,172

    0.3500

    0.3250

    1,243

    0.3550

    0.3250

    1,317

    0.3600

    0.3250

    1,396

    0.3650

    0.3250

    1,480

    0.3700

    0.3250

    1,569

    0.3750

    0.3250

    1,663

    0.3800

    0.3250

    1,763

    0.3850

    0.3250

    1,869

    0.3900

    0.3250

    1,981

    0.3950

    0.3250

    2,100

    0.4000

    0.3250

    2,224

    0.4050

    0.3250

    2,307

    0.4100

    0.3250

    2,360

    0.4550

    103.8462

    2,501

    0.4600

    103.8462

    2,651

    0.4650

    103.8462

    3,461

    0.4700

    103.8462

    3,461 & over

    0.5500

    380.7692

    Where employee claimed FULL exemption from Medicare levy in Medicare levy variation declaration – scale 5

    With study and training support loans debt

    Weekly earnings
    (x) less than
    $

    a

    b

    359

    721

    0.1900

    68.3462

    865

    0.1990

    74.8365

    904

    0.3277

    186.2115

    1,043

    0.3377

    186.2115

    1,106

    0.3477

    186.2115

    1,172

    0.3527

    186.2115

    1,243

    0.3577

    186.2115

    1,282

    0.3627

    186.2115

    1,317

    0.3600

    182.7500

    1,396

    0.3650

    182.7500

    1,480

    0.3700

    182.7500

    1,569

    0.3750

    182.7500

    1,663

    0.3800

    182.7500

    1,763

    0.3850

    182.7500

    1,869

    0.3900

    182.7500

    1,981

    0.3950

    182.7500

    2,100

    0.4000

    182.7500

    2,224

    0.4050

    182.7500

    2,307

    0.4100

    182.7500

    2,360

    0.4550

    286.5962

    2,501

    0.4600

    286.5962

    2,651

    0.4650

    286.5962

    3,461

    0.4700

    286.5962

    3,461 & over

    0.5500

    563.5192

    Where employee claimed HALF exemption from Medicare levy in Medicare levy variation declaration – scale 6

    With study and training support loans debt

    Weekly earnings
    (x) less than
    $

    a

    b

    359

    721

    0.1900

    68.3462

    739

    0.1990

    74.8365

    865

    0.2490

    111.8308

    904

    0.3777

    223.2058

    924

    0.3877

    223.2058

    1,043

    0.3477

    186.2119

    1,106

    0.3577

    186.2119

    1,172

    0.3627

    186.2119

    1,243

    0.3677

    186.2119

    1,282

    0.3727

    186.2119

    1,317

    0.3700

    182.7504

    1,396

    0.3750

    182.7504

    1,480

    0.3800

    182.7504

    1,569

    0.3850

    182.7504

    1,663

    0.3900

    182.7504

    1,763

    0.3950

    182.7504

    1,869

    0.4000

    182.7504

    1,981

    0.4050

    182.7504

    2,100

    0.4100

    182.7504

    2,224

    0.4150

    182.7504

    2,307

    0.4200

    182.7504

    2,360

    0.4650

    286.5965

    2,501

    0.4700

    286.5965

    2,651

    0.4750

    286.5965

    3,461

    0.4800

    286.5965

    3,461 & over

    0.5600

    563.5196

    Notes:

    Scale 1 contains a negative value for one of the b coefficients. This is intentional.

    Withholding amounts including the study and training support loans component worked out using the coefficients may differ slightly from the sums of the amounts shown in the PAYG and study and training support loans tax tables. The differences result from the rounding of components. Withholding calculated using either method is accepted.

    Last modified: 21 Jun 2021QC 65805