Forms must be submitted prior to the full term drop/add deadline for each semester, this includes all terms/sessions within the semester. For example: If taking a course in Spring/Fall B or Second Session, the waiver is still due on the same deadline date as classes taken full term. It is the employee’s responsibility to submit their waiver. THERE IS ONE DEADLINE DATE EACH SEMESTER FOR WAIVER SUBMISSION. ANY TUITION WAIVER APPLICATION SUBMITTED AFTER THIS DATE WILL BE REJECTED.
Tuition waivers received by EKU employees for graduate level courses are a taxable benefit under IRS regulations when they exceed $5,250 per calendar year. As the provider of educational assistance to eligible employees and/or their dependents EKU is responsible for taxing use of this employee fringe benefit when used for graduate level or higher educational expenses. Reference IRS Publication 970, Section 11 for Employer Provided Education Assistance. Currently, the allowance for educational assistance is $5,250 in tax free benefit before EKU must tax the portion in excess of this amount. However, this is only applicable to the employee using the waiver. If the waiver is shared with a dependent(s) then the full cost of tuition is taxable to the employee with no allowance for a tax free portion. The $5,250 allowance is per calendar year.
EKU will add the taxable portion to the employee earnings as non-cash earnings for the purpose of taxation that will in turn cause additional taxes to be withheld and thus reduce net pay, and must be reported as taxable wages on Form W-2. Taxation must occur through payroll only to achieve reflecting use of this benefit on Box 1 of the employee W2 statement as outlined in the IRS publication 970.
The tuition wavier for undergraduate courses is not taxable for employees or their dependents.
For more information on taxation of this benefit please contact the payroll office.
Tuition waivers are not processed until grades from the previous semester have posted. After grades have posted, the following will be checked: student’s GPA, past due account balance, and if student has other financial aid. In addition, the tuition costs for the current semester have to hit the student’s account in order to calculate the dollar amount of the waiver. Waivers are processed in the order they are received.
Employees should see the credit on their account by the tuition due date listed on the bill. If there is ever a late charge assessed, contact the EKU Scholarship Office, firstname.lastname@example.org, to have the late charge removed.
PAST DUE ACCOUNT BALANCES
If you have a past due balance on your account, your waiver will not be processed.
Past due account balances are to be paid by the following deadlines in order for the waiver to be credited.
Fall Academic Term – October 1
Spring Academic Term – March 1
Summer Academic Term – July 1
Tuition Waiver Form
All employee tuition waiver application forms must be submitted to HR:
Office of Human Resources
Jones 120, Coates CPO 24A
or email: email@example.com
The Post-Secondary Tuition Waiver program, for EKU employees, to attend other Kentucky universities, ended May 2019. Eastern Kentucky University has launched a new Tuition Reimbursement Program (TRP), that will go into effect, fall semester 2019.