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Did you know that theres a section of the Cares Act that created a tax free provision for student loan assistance programs. Employers can pay up to $5,250 per year towards your student loans tax free until 2025. That is over $26,000. Your employer can give that money directly to you or to your loan servicers. You do not have to pay income taxes on it, and the employer gets a payroll tax exclusion on that amount. The program was supposed to end in 2020, but was extended under the Consolidated Appropriations Act. So, if you have student loans, you may want to contact your employer and take advantage of this program. So run not walk to your HR department and ask them about this provision.
