UHR Procedures: Tuition Support Program
APPLIES TO: Regular full-time and part-time (50% or more) staff members with the exception of those represented by a bargaining unit
ISSUED BY (DEPT): Staff HR Services
SPG NUMBER: 201.69
|Staff HR Services||
The current capped amount for Non-University of Michigan Courses taken:
1) between August 1, 2012-July 31, 2013 is $1,594.00 per term;
2) between August 1, 2013 - July 31, 2014 is $1,754.00 per term.
Complete Tuition Support Request and give to the unit supervisor. If the staff member needs a decision on whether the request is approved before registration, the request must be submitted to the supervisor at least 20 University business days before registration. Please note that tuition advances/reimbursements, exceeding $5,250 in a calendar year, for graduate level courses, will be considered taxable income and will be reported to the Internal Revenue Service. Federal, state and FICA taxes will be withheld on any amount in excess of $5,250.00.
Review Tuition Support Request and advise the staff member whether the request is approved. Remind the staff member of the IRS regulation which limits the amount of non-taxable tuition reimbursements for graduate level courses to $5250 per tax year.
If request is denied (tuition reimbursement or advance), forward a copy of the request to the appropriate Human Resources office with an explanation of why it was denied.
Tuition Reimbursement: Upon receipt of the required documentation (official grade report and paid bill or receipt), initiate a payment to the employee via the Additional Pay Workflow process using the following earnings codes:
Once the Additional Pay transaction is approved, the tuition reimbursement will be included in the staff member’s next biweekly or monthly paycheck. Federal, state and FICA taxes will be withheld on any annual amount in excess of $5,250.00, for graduate level courses.
Tuition Advance: Promptly after approving a request, initiate a payment to the employee via the Additional Pay Workflow process using the following earnings codes:
Once the Additional Pay transaction is approved, the tuition advance will be included in the staff member’s next biweekly or monthly paycheck. Federal, state and FICA taxes will be withheld on any annual amount in excess of $5,250.00, for graduate level courses.
Unsuccessful Completion of Course:
For active employees:
For terminated employees:
Retain the Tuition Support Request (tuition reimbursement or advance) in the department files.
|Supervisor and Staff Member||If taking the course will require accommodation in the staff member's work schedule, determine how best to meet the needs of both the unit and the staff member.|
|Staff Member||Provide supervisor with an official grade report showing successful completion of course and with a paid bill or receipt. In the case of a tuition advance, this documentation must be provided no later than 60 days after the end of the term.|