What is higher education contribution scheme in SAP PY-AU - Australia?

SAP Term: higher education contribution scheme

• Component: PY-AU

• Component Name: Australia

• Description: A loan for higher education that the employee pays back to the government. The amount of HECS tax an employee pays depends on the amount earned and the HECS contributor scale the employee has chosen. The n Tax Office determines the tax percentages for the HECS contributor scales.

Smart SAP Assistant

• Key Concepts: 
  Higher Education Contribution Scheme (HECS) is a government-funded scheme in Australia that helps students pay for their higher education. It is administered by the Australian Taxation Office (ATO) and is available to all eligible students studying at approved universities and other higher education providers. 
  
  How to use it: 
  In order to use HECS, students must first apply for the scheme through the ATO. Once approved, they will be required to pay a percentage of their tuition fees upfront, with the remainder being paid by the government. The amount of the contribution depends on the student's income and other factors. 
  
  Tips & Tricks: 
  It is important to note that HECS is only available to students studying in Australia. Additionally, it is important to keep track of payments made under the scheme as they can be used as a tax deduction when filing taxes. 
  
  Related Information: 
  The PY-AU Australia component of SAP provides support for HECS, allowing users to manage and track payments made under the scheme. Additionally, it provides support for other government-funded schemes such as Austudy and Youth Allowance.