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February 20, 2020
Question

If I kept all my work study earnings from my university instead of applying income to tuition, does its still count for tax free employer assistance?

  • February 20, 2020
  • 1 reply
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1 reply

Hal_Al
Employee
February 20, 2020

No. The assistance is only tax free if it is used to pay qualified educational expenses (QEE: tuition, fees, books and other course materials).

That doesn't literally mean you used those funds to make the payment. It only means that you had sufficient QEE in the year you received the payment.