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I've done tuition reimbursement programs at two jobs (One for bachelors, one for Masters). The businesses have two benefits to offering these programs: 1) The
by fckgw 4y ago
I've done tuition reimbursement programs at two jobs (One for bachelors, one for Masters).
The businesses have two benefits to offering these programs:
1) The amount paid is a benefit to the employee but is not subject to payroll taxes.
2) The amount is also qualified as a business expense and can be calculated as such for tax purposes.
So companies have serious tax benefits from offering these programs and generally end up being no-cost due to offsetting tax burden. Even if an employee leaves after earning their degree (mine have always had a 12-month payback period) the company still comes out on top.