One of the best ways to get a college education is to have your employer pay for it. That’s where tuition assistance and tuition reimbursement come in. Many companies have programs in place to assist and/or reimburse employees for education related expenses. Typically, these programs have the company pay for your education directly (tuition assistance) or reimburse you after you initially pay for the class with your own money (tuition reimbursement). If you get the required grades, your employer will pay you back the amount that you paid to take the course – ie reimburse you.
Tuition Assistance
The company pays for your education directly
Some companies offering tuition assistance provide their employees with the opportunity to earn a degree while still working full-time. The company partners with a university to provide a full or abridged version of the coursework intended to satisfy the graduation requirements. Sometimes the courses are tailored to apply to the specific company offering the degree, to provide the students with a more practical foundation.
The courses are fully paid for by the company and the classes are held either on-campus, online or even after-hours at the company itself. Those who finish the coursework and graduate with passing marks, are awarded the degree and usually receive a bonus or salary increase. In some rare instances, graduates are also exposed to new job opportunities as a result of the new credentials.
Tuition Reimbursement
You initially pay for the course out of your own pocket. Then, if/when you get the required grades, your employer will pay you back the amount that you paid to take the course – ie reimburse you
One of the most important aspects of tuition reimbursement is the fact that your employer reimburses you only if you achieve the required grades. In most cases, that’s an A or B – anything below a B will not be reimbursed. For this reason, it is imperative that you stay focused on your schoolwork, to ensure that you don’t waste the time and money that you invested.
In many cases, when employers provide either tuition assistance or reimbursement, they require that the employee stay with the company for a specified period of time (between 1-3 years) after receiving the degree, to encourage employee retention and ensure that the full value of the degree was gained by the company.