Tuition Assistance Policy

Lynn · June 2001

Our company would like to develop a tuition assistance policy/program for its employees. Does anyone out there have a policy/program in place? Would you mind sharing you ideas with me? Thank you in advance.

sonny · June 2001

Some elements I have seen included in tuition policies: 1)Course work must be related to employment ie would not pay for a data entry person to go to EMT school 2) Tuition is reimbursed to the employee after completion of the course and evidence is provided of a passing grade (C) OR pay upfront, but if employee does not pass, tuition must be reimbursed. 3)if employee does not stay with the company for a defined amount of time (2 years?) $ must be reimbursed 4) assistance must be applied for and approved PRIOR to the class. Hope this helps

Margaret Morford · June 2001

I have two different policies I will fax you if you will provide me with your fax number.

Margaret Morford
theHRedge

Lynn · June 2001

Thank you, thank you so very much. I apologize for my ignorance of concerning this site. How do I supply my fax number to you confidentially.

Margaret Morford · June 2001

Lynn,

Don't feel ignorant. I've only done it once and I'm sure there was some accidental luck in my succeeding! I think I could walk you through how to do it, but why don't I give you my e-mail address and you e-mail me your fax number? My e-mail address is [email]mmorford@mleesmith.com[/email]. If you'd rather call me, my telephone number is 615-371-8200.

Margaret Morford
theHRedge

Johana · March 2002

Margaret,
Could you send that to me as well. My email [email]johanaf@ace-collects.com[/email], my fax 602-650-5990 .
Thanks!

Jack in KY · June 2002

[font size="1" color="#FF0000"]LAST EDITED ON 06-12-02 AT 02:44PM (CST)[/font][p]Please fax or e-mail me a copy of your sample Tuition Assistance Policy. Fax# (502) 543-5237

Jackie · August 2001

Margaret - could you fax me copies also? Fax # is 319-524-7290, Attn: Jackie Rector.

Thanks so much!

tom · August 2001

We too are setting up a Education Assistance policy. We presently pay for tuition reimbursement for grades received "C" or better for job related coursework. We have been very lenient in determining "job-related"; ie. we have allowed employees to drift into areas we feel would eventually benefit us.
We have now felt that by doing so, some employees have just taken advantage of us and stay with us just to get trained then leave for greener pastures.
I was wondering if it is legal, common or pratical to place a stipulation that an employee remain employed for a period of time following this training or forfeit the cost of this training. Also, we have never detailed in our policy a maximum amount a person can receive per year. I was curious how other companies handle this situation
Thanks Tom

Dottie · August 2001

Tom -- we have a policy whereby the employee must reimburse the company 100% if he/she leaves within one year of completing the course; 67% reimbursement within two years of completing the course; 33% reimbursement within three years of completing the course. Also, one other stipulation that we have that I haven't seen here is the number of credit hours per quarter/semester must be approved by the direct supervisor, factoring the employee has a full time job commitment and shouldn't be overextended (i.e.: it would not be prudent or practical to try to maintain a full time position at our company and take full time equivalent credit hours). Hope this helps.

Gillian · March 2002

Stipulations about staying are not acceptable in California. Yes, some people leave after gaining education, usually because the employer doesn't have a ready promotional opportunity for the employee. On the other hand, we hire people who have left their former employer for the same reason. That is my rationalization for not being overly concerned when employees leave. Come to think about it, many years ago I left an employer for my first HR job, two months after getting a degree, but later went back to the same employer as their Employment Manager. If we become overly restrictive I think that takes away from the morale boost which tuition plans provide.

Helena · March 2002

Hi Margaret,

I too would like a copy. My fax number is: 714-619-6354.

Thanks
Helena

bones · May 2002

Margaret, can you help on someone help me with the proper way to figure full time equivalent employees.

Margaret Morford · May 2002

This is a general description. Take the number of hours worked for the period to be measured. I'll assume for this example that you are looking at a four week accounting cycle. That means that an FTE would have worked 40 hours times four weeks or 160 hours. All exempt employees are credited with 160 hours regardless of how many they work (unless you pay comp time. Those hours would need to be added because you are paying for them). Then you total the hours worked by non-exempts and divide by 160. That's how many FTE's you had for the period. For example, two part-time employees working 20 hours per week would equal 1 FTE.

Margaret Morford
theHRedge
615-371-8200
[email]mmorford@mleesmith.com[/email]
[url]http://www.thehredge.net[/url]

Helena · May 2002

>I have two different policies I will fax you if you will provide me
>with your fax number.
>
>Margaret Morford
>theHRedge

I would like to establish a "Tuition Assistance Policy".
Would you please fax me your policies.

Thank you,
Helena

FAX NO: 714-619-6354

Carole M · September 2003

Our Company is also in the process of formalizing a tuition assistance policy. I would appreciate if you could fax me your sample policies at (203) 319-3224.

Many thanks!!

marc · September 2003

Ours is straight forward. Approved by HR and must have relationship to business, 1/2 of tuition and books paid when grades are published, and ee must have received at least a B. Oh yeah, Executive Director approves total line item budget and some years there just isn't any money.

coxswain · August 2001

In addition to the earlier message, we have a maximum amount that we will pay--$2,000 per year for undergraduate and $3,000 per year for MBAs. We looking to change that because it doesn't take into consideration those employees on accelerated programs--they don't get as much benefit as employees who take four years to graduate.

Also, we will pay a portion of any experiential credit or CLEP-type exams that allow them credits without taking courses.

Some of our employees remember when the Tuition Reimbursement policy was 100% for whatever and they don't like the current policy (the current policy has been in place about five years) naturally. New employees recognize that any tuition reimbursement is generous in this day and age.

Hope this helps.

Roberta · September 2001

Our children's welfare agency has a rather generous policy for education. An employee can request money for degree completion or certification. This is done once a year (for the following fiscal year). Each application is reviewed by management. Some of the criteria are: length of service already, is degree in progrss, how much longer to complete, previous requests for funds, etc. If granted funds, the employee could receive up to $3,500 per fiscal year. These funds have the stipulation that after degree completion (or receive certification), for each hour the employee works, one dollar is removed from the balance of what was initially provided for the employee. However, if the employee fails to complete the degree (or terminates employment), he/she has agreed to repay the amount that was provided on his/her behalf. This program has provided our agency with several Masters Level employees who possibly would have left the agency to work elsewhere.

The agency also provides up to $400 dollars per year for any FT employee who wants to take a work-related class. In this situation, the employee must pay for the course, complete with a C or better, then submit the receipt and grade for reimbursement. Some employees who are working towards a degree (who aren't participating in the other plan) also use this program to receive "bonus" for their education. This particular plan does not have any work requirements.

Hope this helps.

Jarrett · October 2001

>Our company would like to develop a tuition assistance policy/program
>for its employees. Does anyone out there have a policy/program in
>place? Would you mind sharing you ideas with me? Thank you in
>advance.

We currently have a policy in place, which has worked well in the past, however, we have recently opened a Spa and have Therapists and Technicians who we WANT to assist with receiving further certifications, but often they leave our employment to provide services on their own or for small, local salons.

We were thinking about continuing with current policy and adding a stipulation that we would not repay employee until 6 months to a year after they receive certification, but our need is so great for some certifications that we probably need to pay up front for those. If the ee is required to re-pay us if they terminate,....well,...you can't get blood out of a turnip!!

Any suggestions would be greatly appreciated!

Margaret Morford · October 2001

Jarrett,

It sounds as though you are going to need to pay up front. However, I would pay upon satisfactory completion of each course. This means that as the individual passes the first course, he/she uses the money reimbursed to pay for the next. If he/she fails the course, you don't want to be stuck with the unpleasant task of collecting money back for something he/she failed. It's a double negative!

Have the form he/she signs requesting payment state that if he/she leaves your employment within a year, he/she will be required to pay this money back and reimburse the company for any legal fees incurred in collecting this money. While you can't get blood out of a turnip, it will make most of the employees stay on until the year is completed because the legal fee piece could be huge. You may also be able to get someone who does collections to pursue this for you on a contengency basis. Anything recovered is a bonus and it will make employees think twice about leaving before the year is up.

In addition the form should authorize deductions to satify this debt from any monies due and owing at the time the employee terminates. This would include his/her last pay check and any vacation pay he/she is due. Hope that helps.

Margaret Morford
theHRedge
615-371-8200
[email]mmorford@mleesmith.com[/email]
[url]http://www.thehredge.net[/url]

Human Resources Manager · May 2002

Our educational assistance policy is considered a "loan program." The EE must have courses approved by the HR department prior to enrollment. After successful completion of the course, the EE submits a fee statement. The EE then signs a "loan agreement" stating that the company will loan them the cost of tuition and books, but if the EE stays with the company for a period of one year following completion of the course, the company will forgive the loan.

Leslie · June 2002

We are also trying to establish an education reimbursement program. One we are currently looking at requires courses to be related to position. It reimburses at up to $150 per credit hour to a maximum of six credit hours per semester, a maximum of $200 for books per semester. It does not address accelerated programs, ie University of Phoenix et al. Margaret, I'd be interested in seeing your policies. Does anyone have a policy that addresses the accelerated programs? My email is [email]lostrander@fmcasino.com[/email] and fax 480-837-9469. Thanks!

amercy · October 2003

Hi!
This is our policy -

Tuition Reimbursement
Our company is pleased to support and encourage the professional growth of our Team Members. As such we offer a Tuition Reimbursement benefit. To be eligible for Tuition Reimbursement, you must:
· Apply for it in writing and be approved for it by your Supervisor, the VP of Organizational Development and the President/CEO prior to registering for a course (approval processing may take up to 2 weeks - Tuition Reimbursement. Forms can be obtained from the Human Resources Department);
· Take a course that is directly related to your position with the company and that will substantially improve your productivity in your current job;
· Be actively employed by our company on a full-time basis and in good standing at the beginning and end of the course semester (if a Team Member resigns or is terminated before completing a course and receiving a grade, the Team Member will not be reimbursed for tuition expenses);
· Attend an accredited university, college or GED program.
Team Members will be eligible for reimbursement for up to one course per semester and up to *four courses per year as follows:
· 100% for an “A-”, “A” or “A+”
· 80% for a “B-”, “B” or “B+”
· 0% for any grade below a “B-”
The amount of reimbursement a Team Member receives depends upon the Company's approval and upon the grade received and will not exceed a total annual reimbursement of $5,000. Reimbursement does not include expenses for items such as books, lab fees, parking fees, travel expenses or any other fees or costs other than those pre-approved by Human Resources as course fees prior to the beginning of the semester. If a Team Member resigns or is terminated within twelve (12) months after receiving reimbursement, the Team Member must repay the company in full. Our company retains the right to deny, limit and/or modify reimbursement approval at any time and for any reason.
(*Trimesters, summer sessions and winter intercessions, in addition to the typical Fall and Spring terms make it possible to take 4 classes per year.)

Tuition Assistance Policy

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