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Many colleges and universities offer programs for working professionals and students interested in obtaining a college degree. According to the Online Learning Consortium, about 85% of Americans in college programs are adults returning to college or veterans using their military benefits.
Many companies offer education benefits for employees. These benefits help employees go to school to pursue education and professional development opportunities. This guide defines education benefits, lists types of commonly available benefits, and details some companies that offer them.
What are Education Benefits?
About 92% of employers offer some type of education benefits, according to this 2019 survey. These benefits vary among companies that pay for college, so workers should contact their managers or HR representatives to discuss available options.
Education benefits may cover costs for certificates, associate degrees, bachelor's degrees, graduate programs, and professional development courses. Some companies may offer financial aid for bootcamps.
Types of Education Benefits
Tuition reimbursement, employer-sponsored scholarships, and tuition assistance are the most common company education benefit programs. Here's a closer look at these three common offerings from companies that help pay for college.
Tuition assistance programs can help students offset some costs or cover all tuition fees. In these programs, employers may offer aid upfront, allowing students to pay little to nothing out of pocket.
Similar to tuition reimbursement programs, students can receive up to $5,250 for tuition, tax free. The Internal Revenue Service (IRS) considers any tuition assistance dollars beyond that to be taxable income.
How Can You Take Advantage of Education Benefits?
Employees often must follow particular requirements or guidelines set by their employers to qualify for education benefits. For example, some may require students to maintain a specific GPA.
In some cases, companies only provide tuition assistance or reimbursement to employees who enroll in specific classes or programs at approved institutions. Also, a recipient may need to stay at their company for a predetermined number of years after completing their schooling. Otherwise, they may need to repay the money they received.
Human resources departments can provide information on their tuition assistance or reimbursement programs. Workers can also pitch the idea to their managers by showing them specific examples of how additional training can benefit the company.
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Companies That Offer Education Benefits
Education benefits vary among companies. Here is a detailed look at 10 tech companies that pay for college and how much their employees may receive in tuition assistance or reimbursement per year.
Adobe's education benefits for employees include tuition reimbursement and education savings plans for dependents. Students pursuing graduate-level credentials or certain certifications can receive up to $10,000 per year for tuition and books. Adobe also offers up to $1,000 in reimbursement for students in short-term learning opportunities and skill development programs.
Questions About Education Benefits
Why are companies paying for college?
Companies offer education benefits to attract, retain, and support talented employees. Employees who complete additional training, degrees, or professional development courses can improve their abilities and help make their companies more successful.
Do you have to pay back tuition reimbursement?
Employees who meet their company's guidelines and eligibility requirements outlined in their education benefits packages do not need to pay back tuition reimbursement. If an employee breaks the terms of their reimbursement agreement, they may need to repay some or all of their financial assistance.
What do education benefits pay for?
Education benefits may cover the cost of tuition, books, fees, and some types of supplies or software. Students cannot use this financial aid for lodging, meals, or supplies unrelated to their education programs.
Will a company sponsor a bootcamp?
Companies that pay for college degrees may also cover the partial or full cost of a bootcamp. Since education benefits vary among companies, employees should check with their managers or HR representatives to determine if their companies cover bootcamps.
