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Internal Revenue Service Student Loans Employer Contributions

The United States Internal Revenue Service is a bureau of the United States Department of the Treasury. The IRS is charged with collecting revenue and enforcing the Internal Revenue Code.  
Haynes Boone

IRS Reminder: Educational Assistance Programs Can Help Pay Employee’s Student Loans

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The IRS recently issued a news release with a reminder that employers may contribute up to $5,250 annually per employee toward qualified student loan repayments if provided under a Section 127 educational assistance program....more

Troutman Pepper Locke

IRS Issues Guidance on Employer Matching Contributions for Student Loan Repayments

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The Internal Revenue Service (IRS) issued interim guidance on the SECURE 2.0 Act provision permitting employers to make matching contributions based on employees’ qualified student loan repayments (“QSLP”) under 401(k),...more

Kaufman & Canoles

ESOPs, Benefits & Compensation Q3 2024 Client Update

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Fall greetings from the Kaufman & Canoles ESOPs, Benefits & Compensation team. We hope you’re enjoying the cooler weather, changing leaves, and—of course—the continual pace of change in employee benefits. Please find below a...more

McDermott Will & Schulte

Back-to-School Special: IRS Offers Insight Into Matching Qualified Student Loan Payments

McDermott Will & Schulte on

On August 19, 2024, the Internal Revenue Service (IRS) issued Notice 2024-63 (the Notice), providing guidance regarding the implementation of Section 110 of the SECURE 2.0 Act of 2022 (SECURE 2.0), which permits employers...more

Littler

Unlocking New Benefits: Is the SECURE 2.0 Student Loan Match Right for Your Workforce?

Littler on

Employers now have a new benefit option in their toolbelt: The Qualified Student Loan Payment (QSLP) match. But is it worth implementing? Before diving into the specific legal requirements for a QSLP match program, this...more

McGuireWoods LLP

IRS Gives Guidance on Student Loan Payment Matching Contributions

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IRS Notice 2024-63, published Aug. 19, 2024, provides interim guidance for plan sponsors on the SECURE 2.0 Act provision permitting employers to offer matching contributions to their retirement plans — including 401(k) and...more

Verrill

IRS Issues Guidance Addressing Matching Contributions on Student Loan Payments

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Section 110 of the SECURE 2.0 Act of 2022 (“SECURE 2.0”) permits employers maintaining a 401(k), 403(b), governmental 457(b), or SIMPLE IRA plan to make matching contributions based on qualified student loan payments...more

Keating Muething & Klekamp PLL

Benefits Monthly Minute - August 2024

The August Monthly Minute highlights new IRS guidance addressing student loan matching programs, HHS’s increases to civil monetary penalties and Form 5330 paper filing updates....more

Kilpatrick

IRS Issues Guidance on Employer Matching Contributions for Student Loan Repayments

Kilpatrick on

The SECURE 2.0 Act of 2022 (“SECURE 2.0”) permits employers to match student loan payments made by employees under 401(k), 403(b), governmental 457(b), or SIMPLE IRA plans in plan years beginning on or after January 1, 2024....more

Proskauer - Employee Benefits & Executive...

Notice 2024-02: IRS Offers Guidance on (Some) SECURE 2.0 Questions

Approximately one year after Congress enacted the SECURE 2.0 Act of 2022 (“SECURE 2.0”), the IRS issued Notice 2024-02, which addresses SECURE 2.0 implementation issues and extends the plan amendment deadline. Although...more

Jaburg Wilk

Tax Relief to Help Weather the Storm of COVID-19

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As the COVID-19 pandemic has wreaked havoc on our personal, financial and business lives, the government has responded with legislative and administrative relief.  This is a high-level summary of some of the enacted measures...more

Troutman Pepper Locke

Legislation Proposed to Allow Employers to Make Matching Contributions on Student Loan Repayments

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Two bills have been introduced in the Senate that would allow employers to make matching contributions under 401(k), 403(b), governmental 457(b) and SIMPLE plans as if the participant’s student loan payments were salary...more

Holland & Hart - The Benefits Dial

Start spreading the news…student loan 401(k) match revenue ruling in the works

As you may recall, Private Letter Ruling 201833012 (the “PLR”), concerning the IRS’ approval of Abbott Laboratories’ plan to implement 401(k) matching contributions on student loan repayments, was released to much fanfare in...more

Ary Rosenbaum - The Rosenbaum Law Firm P.C.

Student loan match legislation proposed

Sen. Ron Wyden (D-OR) has reintroduced legislation that would permit 401(k), 403(b), SIMPLE and governmental 457(b) retirement plans to make matching contributions to workers as if their student loan payments were salary...more

McAfee & Taft

Gavel to Gavel: New 401(k) plan design could help repay student loans

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Your employees likely have more student loan debt than any other kind of consumer debt, except mortgage debt. If you run an internet search using “amount of student loan debt,” you will quickly learn that Americans owe more...more

Ary Rosenbaum - The Rosenbaum Law Firm P.C.

The 401(k) match-student loan program is becoming a big thing, at least marketing wise

Ever since the Internal Revenue Service opined that one particular 401(k) plan could use matching contributions instead to help employees pay off your student loans. On paper, a great idea since I love options. As with any...more

Verrill

December 2018 Client Advisory

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This Client Advisory highlights important developments in the law governing employee benefit plans and executive compensation over the past year. It offers insight into what these developments mean for employers and plan...more

Fisher Phillips

Employers Get (Somewhat) Good News From IRS About Matching Contributions To Repay Student Loan Debt

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In the recently issued PLR, an employer sought confirmation from the IRS that its proposed Student Loan Benefit Program did not violate the “contingent benefit” rule found in the Tax Code which, prohibits employers from...more

Snell & Wilmer

A New Perspective on Student Loan Repayment Benefits

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On August 17, 2018, the Internal Revenue Service (the “Service”) published a Private Letter Ruling (the “PLR”) describing a unique student loan repayment program in the context of a qualified retirement plan....more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Student Loan Repayments or Retirement Savings? Maybe Both . . .

Recent statistics show that approximately 70 percent of college graduates will leave college with an average of at least $30,000 in student loan debt. Cumulatively, the national student loan debt is approximately $1.5...more

Spilman Thomas & Battle, PLLC

The Way of the Future: Student Loan Benefit Plans

According to a recent study, Americans currently owe approximately $1.4 trillion in student loan debt. With increasing pressure to pay off student loans, some employees choose not to contribute to retirement programs offered...more

Laner Muchin, Ltd.

IRS Approves 401(k) Student Loan Repayment-Based Employer Contributions

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Last month, the IRS issued a Private Letter Ruling in which it approved a company’s proposed program to condition employer contributions to a 401(k) plan on an employee making student loan payments....more

Perkins Coie

IRS Charts a Path to a 401(k) Plan Student Loan Feature—Will Plan Sponsors Follow?

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The IRS released a private letter ruling on August 17, 2018, in which it approved a student loan repayment benefit that was connected to an employer’s contributions to its 401(k) plan. Though the IRS’s ruling applies only to...more

Holland & Knight LLP

IRS May Allow Employer Contributions to 401(k) Plans for Employees Repaying Student Loans

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• With growing student loan debt pushing employees to delay contributing to their employers' 401(k) plans, many employers have been looking for ways to help their employees save for retirement. • A recent Internal Revenue...more

Kelley Drye & Warren LLP

Offering Student Loan Benefits Under 401(k) Plans

As employers look for creative ways to help employees manage their student loan debt, the IRS recently ruled that employer nonelective contributions to a 401(k) plan for employees who make student loan repayments would not...more

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