One Surprising Way To Save on College Tuition

By: Anneken Tappe · March 07, 2024 · Reading Time: 2 minutes

A U.S. college education can be expensive, more than $36,000 on average for a four-year degree, accounting for tuition, room and board, books, and daily living expenses. But for parents who work at their children’s university, it could be quite a bit less.

Not all but many colleges offer tuition benefits to children of full-time employees, making a university job appealing to many parents looking to fund their kids’ education.

Tuition Benefits

These benefits are anything but uniform.

Some schools require employees to hold a position for a set amount of time before extending them. Others offer tuition benefits that can be exchanged at other universities, meaning children don’t necessarily need to go to the university where their parents work.

And while some schools offer no discount at all, others offer to cover the tuition costs of employees’ children entirely.

While working at a university can prove beneficial in more ways than one for parents of college-bound kids, there are some things to keep in mind. The IRS considers tuition benefits above $5,250 per year to be taxable income.

Looking for more stories like this? Check out On the Money — SoFi’s one-stop-shop for news, trends, and tips!

Check it out

Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision. 
No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content. 
Communication of SoFi Wealth LLC an SEC Registered Investment Advisor
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners. 

TLS 1.2 Encrypted
Equal Housing Lender