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Retirement Planning
Chapter 13: Employee Benefits & Fringe Benefits/QUALIFIED TUITION REDUCTION PLANS
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Chapter 13: Employee Benefits & Fringe Benefits

QUALIFIED TUITION REDUCTION PLANS

01.Core Concepts

• Reduced tuition for employees and their dependents • Elementary, secondary, and undergraduate tuition • Offered by qualified educational organizations Impact on Retirement Planning • May be offered to retired employees and their dependents • Accumulation phase • May free up additional funds to be saved for retirement • Distribution phase • For retirees who had children later in life, can reduce the income needed from the retirement portfolio • Opportunity for lifelong learning and socialization during retirement