Q&A: How the student finance calculator works

BBC News has designed a calculator to give people an idea of how much it may cost them to pay off their student loans under the proposed new financing system.

In order to do so, we have had to use various averages and assumptions about the future of both the UK economy and the individuals involved.

It is not supposed to give precise predictions about future payments for individuals, but rather to illustrate the cost of the financing in various scenarios.

To change some of the assumptions made, you can download the attached spreadsheet and change the settings on the first page of it, and insert your own assumptions about your future income on the third page.

Remind me how the student loan system works

How does the calculator work?

Why is this so complicated. Isn't it just like paying off a mortgage?

What assumptions have you made?

Are there any factors you have had to leave out?

Can I change the assumptions that have been made?

Thanks to Derek Bird and Ryan Pike from the earnings department at the ONS for providing the figures and helpful advice, and Elliot Varnell of The Actuarial Profession and Martin Conyon of Wharton School, University of Pennsylvania for generous advice. The calculator was developed by Tom Pearson and Martyn Rees and designed by Salim Qurashi.