Graduate Salary & Student Debt: 6-Country Comparison (2026)
Two numbers shape a graduate's first decade of money: what you earn, and what you owe. Both vary enormously between countries — and the way student debt works matters even more than the headline balance. Here's how starting pay and student debt compare across the US, UK, Canada, Australia, Ireland and Switzerland.
How to read this: figures are in each country's local currency and are not exchange-rate or cost-of-living adjusted — a higher number doesn't mean a better deal once rent, tax and prices are factored in. Typical illustrative figures from public sources, not individually verified or financial advice.
Starting pay & student debt at a glance
| Country | Typical early-career pay | Typical student debt | How the debt works |
|---|---|---|---|
| 🇺🇸 United States | $52,000 (median entry) | ~$28,950 | Conventional loan; interest accrues; repaid on schedule or via IDR |
| 🇬🇧 United Kingdom | £29,000 (median grad) | ~£45,600 | Income-contingent; 9% above threshold; written off after 30–40 yrs |
| 🇨🇦 Canada | $62,000 (median FT) | ~$28,000 | Federal portion interest-free since 2023; repayment assistance |
| 🇦🇺 Australia | $70,000 (median grad) | ~$26,500 (HECS-HELP) | Repaid via tax above a threshold; indexed, no interest |
| 🇮🇪 Ireland | €38,000 (median grad) | Low / none | Free fees + ~€3,000 contribution; most graduate debt-free |
| 🇨🇭 Switzerland | CHF 81,000 (median gross) | Low / none | Low tuition (~CHF 1,000–2,000/yr); minimal loans |
The headline balance is misleading. A £45,600 UK loan and a $28,950 US loan are completely different animals: the UK loan behaves like a graduate tax (9% of income above a threshold, written off after 30–40 years), while US debt is a conventional loan you're expected to clear. Ireland and Switzerland graduates start largely debt-free thanks to free or very low tuition.
The big divide: loan vs graduate tax
Countries fall into three camps, and which one you're in changes the right strategy:
- Conventional debt (US) — interest accrues, you're expected to repay, and overpaying high-rate balances genuinely helps. Avalanche the highest rate; protect access to federal forgiveness (PSLF/IDR) before refinancing.
- Income-contingent "graduate tax" (UK, Australia) — you repay a percentage of income above a threshold, the balance is written off after a set period (UK) or only indexed not charged interest (Australia HECS-HELP), and many never repay in full. Overpaying usually doesn't pay — your spare money is better in a pension or first-home savings.
- Little or no debt (Ireland, Switzerland; Canada in between) — free or very low tuition means graduates start clear, so the first-decade focus shifts straight to saving and investing. Canada sits between: real balances, but the federal portion is now interest-free.
The move that pays everywhere: negotiate your first salary. Because every future raise compounds off your starting base, asking for more at the offer stage is worth far more over a career than any debt-repayment tactic — and it's true in all six countries.
See your lifetime earnings impact
Our Salary Negotiation calculator shows what negotiating your first salary is worth over a career — in your country's currency.
Open the Salary Calculator →For the full early-career playbook — emergency fund, debt strategy and the accounts to use — see the Starting Out guide, localised for all six countries.
↪ Part of our 6-country cost comparisons — see how every big financial decision compares across these six markets.
Sources
- US — BLS; Federal Reserve (student debt)
- UK — ONS ASHE; Student Loans Company; gov.uk (Plan 2/5)
- Canada — Statistics Canada; National Student Loans Service Centre
- Australia — GradStats; ATO (HECS-HELP)
- Ireland — gradireland / HEA; Citizens Information (free fees / Student Contribution)
- Switzerland — Federal Statistical Office; swissuniversities (tuition)
Figures as of June 2026 (2024–25 data), in local currency and not exchange-rate adjusted. Compiled from the latest publicly available official sources; general information, not individually verified or personalised advice. See our disclaimer.