Tuition Grant Program (TGP)

A. Stanford's Tuition Grant Program assists employees by helping them pay for their dependent children's undergraduate college education. If you are an eligible faculty or staff member and your child is claimed as your dependent on your federal income taxes, TGP provides tax-exempt payments directly to accredited colleges and universities toward the cost of the child's tuition. Benefits for other eligible children are provided on a taxable basis.

A. The maximum benefit is the lesser of:

• The cost of tuition (or fees) for your child's school, less any applicable grants or scholarships or
• Up to one-half of Stanford University's tuition (Half of the current 2015/2016 Stanford tuition is $22,864.50)
• The benefit payable on your behalf will be calculated each semester, quarter, or each time you apply for TGP benefits and receive an authorization letter.
• There is a maximum TGP benefit per semester of $11,432.25.
• There is a maximum TGP benefit per quarter of $7,621.50.
• The maximum payable is for up to 8 semesters or 12 quarters of undergraduate course work.
• Use caution when deciding to use TGP benefits for community college course work. The 8 semesters or 12 quarters of undergraduate course work is the maximum allowable regardless of the type of institution or amount of payment.

A. You must submit a completed TGP application form for each academic year. The Tuition and Training Programs (TTP) Office will review and determine your and your child's eligibility. Proof of dependent relationship is required and must be submitted with the first application for each dependent. A list of acceptable TGP Dependent Eligibility Documentation can be found in the section of this website, above. Copies of official documents are acceptable. Please do not send original documents.

If you and the eligible child qualify for TGP benefits, Stanford University will issue an authorization letter to you. It is your responsibility to forward the letter to your child's institution immediately. The letter will verify that payment from Stanford is guaranteed and provides billing instructions for the institution. You must reapply between April 1 and July 1 for all semesters or quarters, including summer term.

A. If payments were made directly to you, they would be considered taxable income. If you already paid the tuition prior to receiving your TGP authorization letter, the TTP office will send the tuition payment to your child's institution. The institution will be responsible for your reimbursement.

A. For employees in benefits-eligible staff positions, there is the Staff Tuition Reimbursement Program (STRP). The program supports employee development by providing partial or full reimbursement of tuition costs for courses meeting requirements of undergraduate or graduate degree programs related to current performance or planned career development. Individuals must be enrolled in a degree program to qualify for assistance. See the STRP guidelines at http://hros/eap/strp.html.

A. The following items are on the exclusion list; additional excluded items are included in the comprehensive TGP Guidelines.

• Room and board
• Books and course materials
• Transportation and parking
• Laboratory fees
• Expenses at any United States or foreign institution that are not normally included in the basic tuition and fees by Stanford University, the University of California, or the California State Universities
• Other costs or expenses that Stanford, in its discretion, decides are not tuition within the meaning of this Program

A. For Staff: You must be in a benefits-eligible University position that is six months or more (four months or more, or to the extent provided in the collective bargaining agreement for bargaining unit employees) and 50% FTE or greater. In addition, you must have completed five years of continuing benefits-eligible service to qualify.

For Faculty and Hoover Senior Fellows: You are eligible for TGP when your appointment begins if you are in a University appointment of six months or longer.

For Senior Staff (designated at levels N11 and N99, within the university classification system): You are eligible when your appointment begins if you are in a University appointment of six months or longer.

For Senior Staff (designated at levels N, O, P, within the university classification system): You are eligible for TGP effective 7/1/2015 if you are in a University appointment of six months or longer. Employees who were designated as Senior Staff prior to 4/1/2015, who have already met their 5-year service period, are already eligible.

A. No, only one four-year benefit period is allowed for each eligible child regardless of which parent applies. The same limits and conditions apply as if Stanford employed only one parent.

A. Yes, if you have satisfied the five years of continuous service requirement, your TGP benefits are prorated based on the percent of time you work; e.g., 50%, 75%, etc. The position must be benefits eligible and at least 50% FTE to qualify for TGP.

A. If it is a paid leave, TGP benefits continue without interruption. For approved disability or family leaves, if the service requirement is met, TGP benefits continue during the disability time period as long as you remain employed by the university. For a sabbatical, TGP benefits continue without interruption. TGP is usually not payable during unpaid leaves, but there may be some allowable exceptions. For a full explanation of how the Benefit is affected by leaves of absence, please consult the TGP Guidelines.

A. Yes, assuming the service requirement has been met and you are an official retiree (meeting the criteria set forth by the Benefits Office for official retirees). If, at the time of your retirement, you hold a position that is less than 100% full-time service, your TGP benefit will be paid at the full-time rate only if you worked in 100% full-time service positions for more than half of the years you were a benefits eligible Stanford employee during the 10-year period immediately preceding your retirement. If the majority of your service was not full time, your TGP benefit as a retiree will be based on the average percent of your full-time equivalency during your last 12 months of active service.

A. If you are rehired as a faculty member or University Officers and Executives, you are immediately eligible for TGP upon rehire. If you are rehired as a staff member, you must complete another five-year period of continuous benefits-eligible service to reestablish eligibility for the TGP benefits, unless any of the provisions of Administrative Guide Memo 2.1.2 (d)(1) apply to you.

• The provisions in that memo include:

Reinstating the Hire Date:

Former regular staff will have their hire date reinstated if they left the University in good standing and meet these timelines:

(a) Former regular staff that has been laid off and is re-employed by the University within 24 months following the date of layoff will have the most recent hire date prior to layoff reinstated.

(b) Former regular staff whose employment was terminated for reasons other than layoff will have the most recent date of hire prior to termination reinstated if re-employment occurs within 12 months following the date of termination. Reinstatement includes all of the following:

• Bridging of service by restoring the most recent hire date in a benefits-eligible position before termination,
• Restoration of any sick leave balance at the time of termination, and
• Vacation accrual rate based on the reinstated hire date.

A. If you have already met the service requirement, benefit payments for your eligible children already receiving benefites will continue. Your other children, if any, will become eligible for TGP benefits when they qualify under the other conditions of the Program. All eligibility for the Program ends if, at the time of death, there are no eligible children participating in the Program.

However, if you have completed ten (10) years of continuous benefits-eligible service at the time of death, or if you would qualify as an Official Retiree at the time of your death, your eligible children are eligible for TGP benefits under the terms in effect at the time the application is submitted, whether or not you had eligible children participating in the Program at the time of death.

Children of deceased employees are eligible only up to age 40.

A. Proof of dependent relationship is required and must be submitted with the first application for each dependent. A list of acceptable documents can be found on the TGP website at http://hreap.stanford.edu/tgp.html. Copies of official documents are acceptable. Please do not send original documents.

A. Yes, if a foster child has lived with you for at least 24 months immediately before you request benefits under the Program, AND if one or more of these statements is true (see below), you are eligible for TGP benefits.

• The child is your dependent for federal income tax purposes, or
• You provide more than 50% of the child's financial support, or
• The child lives primarily with you when he/she is not away at school

A. Yes, if one or more of these statements is true (see below), you are eligible for TGP benefits.

• The child is your dependent for federal income tax purposes, or
• You provide more than 50% of the child's financial support, or
• The child lives primarily with you when he/she is not away at school

A. Yes, child(ren) of your Registered Domestic Partner (as defined by the Domestic Partner Benefits Policy, available through Benefits) may be eligible for TGP if one or more of these statements is true (see below)

• The child is your dependent for federal income tax purposes, or
• You provide more than 50% of the child's financial support, or
• The child lives primarily with you when he/she is not away at school

A. Yes, if a child has been your ward under a court-approved legal guardianship and has been your ward immediately prior to your request for benefits under the Program for at least 60 months, AND if one or more of these statements is true (see below), you are eligible for TGP benefits.

• The child is your dependent for federal income tax purposes, or
• You provide more than 50% of the child's financial support, or
• The child lives primarily with you when he/she is not away at school

A. No, age is not a factor in determining the child's eligibility for TGP benefits (the child might be 16, 25, 32, etc.), unless the eligible employee is deceased. In that case, if the service requirement was met before the employee's death, benefit payments for your eligible children already receiving benefits will continue; other remaining children will become eligible when they qualify, up to age 40.

Also, if the child is over the age of 24 (19 if not a full-time student) and has gross income equal to or exceeding the IRS exemptions amount, the child will not qualify as a dependent and TGP benefits will be treated as taxable compensation to you.

A. Yes, as long as the maximum amount of semesters or quarters has not been reached. However, if you are receiving the Benefit as taxable compensation, additional rules apply. Taxable TGP benefits for a child will not be paid over a period of more than 4 consecutive years. If benefits for a child become taxable part way through the child's college education, the remaining benefits for which the child is eligible must be taken in consecutive regularly-scheduled quarters or semesters for all benefits to be available. No TGP benefits continue beyond your eligible child's attainment of the baccalaureate degree. Once the benefit becomes taxable, the remaining benefits for which the child is eligible must be taken in consecutive regularly-scheduled quarters or semesters for all benefits to be available. If time off is taken during the period of time in which the benefit is taxable, the consecutive quarters/semesters rule remains in effect and the student will only have the remaining consecutive quarters/semesters in which to use TGP benefits. If the TGP benefits are not fully utilized in this timeframe, they are forfeited. Please review the full taxable benefit policy in the TGP guidelines located at http://hros.stanford.edu/eap/tgp.html

A. Yes, if your eligible child takes eight or fewer units in a term, then TGP will pay only half of the equivalent full-time academic term of eligibility. The amount payable to the institution cannot exceed one half of the amount available for that term, or the balance of half of the TGP maximum annual benefit amount. Additional restrictions may apply if the benefit is being received on a taxable basis. Please review the full taxable benefit policy in the TGP guidelines located at http://hros.stanford.edu/eap/tgp.html

A. Yes, the program will pay for your eligible child’s summer session if payment does not exceed the annual maximum benefit for that academic year. If he or she is enrolled for 8 or fewer units (part-time), one-half a term of eligibility will be deducted. If your child is enrolled for 9 or more units (full-time), a full term of eligibility will be deducted.

A. The accreditation process is rigorous and Stanford University must adhere to it. The program does not provide payment to institutions that have not completed the accreditation process. Additionally, accredited institutions have to meet quality standards for their educational curricula, helping to ensure a high quality academic program.

A. Obtain backup information from the institution that proves it is accredited and includes it with your application to determine the eligibility.

A. The maximum full-time benefit for the 2015/2016 academic year – including summer term – is:

• $22,864.50 for the full academic year
• $11,432.25 for each semester
• $7,621.50 for each quarter

The amount changes each year, based on the current Stanford tuition. If you work less than full time, the amount is prorated (see Eligibility for Employees section).

A. If you have satisfied the eligibility requirements, and your child's college or university tuition is the same as Stanford's, TGP can pay up to ½ of Stanford's annual tuition. In many cases, however, your child's college or university tuition is less than half of Stanford's annual tuition, so that amount is what TGP will pay.

A. The program was established to support the children of long-time employees attaining an undergraduate degree. Graduate education is not included in TGP because graduate degree typically includes financial support for the student, such as a teaching assistantship or a research grant. Additionally, the tax laws differ based on the age of the child.

A. Yes, only if your child is claimed as your dependent on your federal income tax return for the year that includes the tuition payment date. The payments are made directly to the institution on behalf of your eligible child. These payments are excluded from your gross income for federal income tax purposes and are non-taxable. If your child is not claimed as your dependent on your federal income tax return, the benefit is considered taxable compensation.

A. If the child is your domestic partner's child whom you have not adopted, or is otherwise not your dependent for federal income tax purposes, the benefit payments do not qualify for tax-exempt treatment.

Follow the steps below on how to make the tuition payments directly to the child's institution.

• When your application is reviewed and eligibility is determinied, you will be issued a taxable compensation authorization letter.
• When you receive the invoice from your child's institution, your are responsible to pay it.
• Provide a copy of the invoice and proof of your child's tuition payment to the Tuition and Training Programs office in Human Resources.
• Reimbursements for current employees will be processed within two pay periods on either the 7th or 22nd of the month, depending on the receipt date for proof of payment.
• Reimbursements for official retirees will be sent to your home address approsimately 15 days after receipt date for proof of payment.

• The reimbursement will be classified as taxable supplemental compensation subject to withholding. The University will not help pay any taxes due on such compensation.
• The supplemental compensation will not change your base salary; such other benefits will continue to be calculated on your regular salary.

A. In some situations, parents who are divorced, or married parents who are legally separated or live apart, the Stanford parent can receive program benefits without taxation as long as the parent who is the Stanford employee claims the child as a dependent for federal income tax purposes.

A. If someone else (including the child) provides over 50% of the financial support of the child, tuition payments made on behalf of the child will be treated as taxable compensation to you.

A. If the child reaches the age of 24 (19 if not a full-time student) and has gross income equal to or exceeding the IRS exemptions amount, the child will not qualify as a dependent and TGP benefits will be treated as taxable compensation to you. Please consult your tax advisor if you have questions about the IRS exemptions amount.

A. The benefit is offset by any applicable grants or scholarships your child may receive from his/her institution. Participation in TGP could also affect other financial aid benefits for your child's education. Contact your child's Financial Aid Office for more information. If your child will attend Stanford University, the TGP Office will notify the Financial Aid Office and you after the application is processed. When registering, the student receives the maximum benefit amount per quarter toward Stanford's tuition through the process specified in the University's registration procedures.

A. Please consult with your tax advisor. Remember, if the payments were made directly to your child's college or university and not to you, they are considered tax exempt.

A. If the TGP benefit is taxable, there are some additional time constraints associated with the program. Once the benefit becomes taxable, any remaining benefits must be taken in consecutive, regularly-scheduled quarters or semesters for all benefits to be available.

If time off is taken once the benefit is taxable, the consecutive quarters/semesters rule remains in effect. If the TGP benefits are not fully utilized in this timeframe, they are forfeited, even though your child may not have attained their baccalaureate degree. Please review the full taxable benefit policy, including examples, in the TGP Guidelines.

A. Applications are accepted throughout the year, but if you are already eligible for TGP, it's best to apply for the upcoming academic year between April 1 and July 1 to reduce the chance of a delay in tuition payments to the institution.

If you first become eligible for TGP benefits after July 1, you should submit your application as soon as you become eligible. TGP benefits can be prorated to cover the time after you become eligible.

Faculty and staff located at SLAC should submit applications directly to the SLAC Benefits Office.

A. The TGP application can be found on the Tuition and Training Programs web site http://hros.stanford.edu/eap/tgp.html in the section “Program Summary”. You may also pick up the application in the Human Resources Department lobby at 3160 Porter Drive, Suite 250, Palo Alto, CA 94304-8443. (SLAC employees can come get the application, but will need to submit it to the SLAC Human Resources Office, Mail Bin 11.). Be sure you have completed each section carefully. Missing information will delay processing of the application. Proof of dependent relationship is required and must be submitted with the application unless previously submitted for this dependent. A list of acceptable documents can be found on the TGP website at http://hreap.stanford.edu/tgp.html. Submit your completed application to the Tuition and Training Programs office in University Human Resources, 3160 Porter Drive, Suite 250, Palo Alto, CA 94304-8443. You can fax the completed application to (650) 723-7669, send in ID mail to TTP/8443. (SLAC employees must submit completed applications to: SLAC, Mail Bin 11, 2575 Sand Hill Road, Menlo Park, CA 94025.) Please only submit each application once!

A. Yes! Apply every academic year between April 1 and July 1. One application can cover a partial academic year or an entire academic year, including summer by marking the correct boxes on the application form.

A. Yes, call the main Benefits number: Locally: (650) 736-2985 or Toll-free: (877) 905-2985. TGP is currently option 5 on the menu.

A. Yes, it's http://hros.stanford.edu/eap/tgp.html

There are FAQs, the application form, and the comprehensive TGP Guidelines that you can review and/or print.

A. Yes, visit the Human Resources Department lobby at 3160 Porter Drive, Suite 250, Palo Alto, CA 94304-8443 to obtain the applications. (SLAC employees can come get the application, but will need to submit it to the SLAC Human Resources Office, Mail Bin 11.).