Debt Recycling Calculator

Estimate the effect of converting non-deductible home loan debt into tax-deductible investment debt, with a 10-year benefit projection.

Uses 2026-27 resident marginal income tax rates, excluding Medicare levy. Inputs are assumptions you can change. Sources: ATO, Australian resident tax rates, Oct 2026.

The model assumes fully franked dividends at a 30% company tax rate. Sources: ATO, Company tax rates, Oct 2026.

Your Loan
Home loan balance$400,000
Home loan interest rate6.0%
Equity to recycle$50,000
Investment Details
Expected investment return7.0%
Dividend yield4.0%
Your Tax
Annual income (for tax rate)$100,000
Marginal tax rate: 30%
10-Year Cumulative Benefit
$0
Debt recycling advantage over standard loan
Annual Tax Saving
$0
Annual Div Income
$0
Franking Credit
$0
Net Annual Benefit
$0
Annual Benefit Breakdown
10-Year Projection
Solid: With debt recyclingDashed: Without recycling
Important: Debt recycling involves financial and tax complexity. This calculator is illustrative only and is not financial advice. Consult a qualified financial adviser before proceeding.
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