28 Aug Internal revenue service Guidance Lets 401(k) Student loan Repayment Experts
Great getting businesses which promote education loan repayment benefits to their workers! Brand new Internal revenue service has just issued an information that businesses can hook up its sum amounts so you’re able to employees’ 401(k) intends to education loan repayment plans, below certain conditions. This new efforts might possibly be matched as to the their staff was purchasing on the student loan repayments. The brand new guidance was in regards to a particular company’s letter to new Internal revenue service; so this is perhaps not a switch to tax laws, and you will companies will have to implement really towards Internal revenue service.
The fresh information towards Internal revenue service advice
The latest Irs pointers claims you to definitely “underneath the Plan, an eligible staff get elect to contribute a portion of their or the lady qualified compensation towards the Package each payroll months since pre-income tax or Roth 401(k) elective deferrals, otherwise after-tax staff member benefits.”