There is a discussion underway in Congress to deduct student loans from payroll deductions alleged to be similar to the United Kingdom and Australia, but the U.S.A. Congressional sponsors of the bill are disingenuous and spreading misinformation about how it works in these two countries.
There is an income threshold in both countries students have to meet to start paying back the loans. In the UK its over 21,000 pounds that converts to over $32,000 in USD.
Does Australia Have the Answer? - Brainstorm - The Chronicle of Higher Education
In Australia "Currently, that threshold income is around $45,000 per year and as soon as the borrower meets that threshold, whether it is while the student is still in school or even years after graduation, repayments begin. The monthly payment amount is not based on the size or term of the loan, but instead on the borrower’s level of income, with students at the threshold level paying 4-percent of their earnings in loan payments and those earning higher wages paying no more than 8 percent of their earnings. Unlike in our Income Based Repayment program, interest does not capitalize and the total amount due does not increase just because a longer repayment term is in order (unless the economy is so strong that CPI increases dramatically over that period of time, in which case one would assume that wages would maintain a similar rate of growth).
Perhaps most importantly, there are no defaults in the Australian student-loan program. It is the Australian Tax Authority that collects student loan payments, not the Department of Education, and the borrower has the option of either making payments through routine payroll deductions (similar to the way in which Americans pay their FICA and other taxes) or through annual tax assessment." https://www.gov.uk/student-finance/repayments