Tuition Remission and Discount

The tuition remission and discount benefits are as follows: 

Note 1: The tuition remission and discount benefit is administered by Human Resources, which shall serve as Plan Administrator to construe and interpret this Policy.

Note 2: The existence of this Policy does not negate nor modify in any way admission requirements to become enrolled as a student of the University or continuing as an enrolled student after admission.

Note 3: Eligibility for course registration and maintaining student status is subject to requirements established by Student Success and University guidelines.

Note 4: The disabling condition or death must have occurred while the individual was employed by the University in a benefits eligible position.

Note 5: The amount of remission benefit is determined when the benefit is received based on the current policy then in force.

Note 6. Neither the Plan Administrator nor any department or individual delegated to perform administrative duties to the Plan shall be liable for any act done or determination made in good faith.

Graduate Tuition Remission and discount Taxation Q & A

Graduate tuition remission and discounts for employees, their spouses and dependent children may be considered taxable income to the employee in accordance with Internal Revenue Service regulations. See https://www.irs.gov/government-entities/federal-state-local-governments/qualified-tuition-reduction  for further information.

What is the tuition remission and discount dollar amount that is nontaxable per year?

Currently, the amount is $5,250 per calendar year. The value of any graduate tuition above this amount will result in taxes being withheld from your paycheck. The IRS requires any graduate tuition amount over $5,250 to be considered taxable wages.

When will any taxes be withheld from my paycheck?

Taxes will be withheld from your paycheck in the semester in which the tuition is used. There is no option to spread the earnings in months outside of the chart below.

How is tax calculated on the value of my tuition remission and discount benefit?

We are required by the IRS and the State of Nebraska be taxed at the Supplemental Rate, which currently is 22% for the Federal Tax, 5% for the State of Nebraska, and 7.65% for FICA Taxes (Social Security and Medicare). The taxes withheld will lower your net pay during that semester.

Can I calculate the amount of taxes that will be withheld?

Yes, to calculate how much will be withheld and lower your net pay, take the amount to be considered as taxable income and multiply by 34.65%.

Will the tuition remission and discount benefit be reported on my pay stub?

Yes, the tuition remission and discount portion will be reported on your pay stub under the earnings section with the description of Non-Cash Graduate Tuition.

Is the yearly total taxable tuition remission and discount benefit amount for the calendar year reported on my W-2?

Yes, the total taxable benefit is noted in Box 14 – Other, with the code 14E.

The taxable amount is also included in boxes 1, 3, 5, 16, and 18 (Wages, Social Security Wages, Medicare Wages, State Wages, and Local Wages).

The taxes withheld are also included in boxes 2, 4, 6, 17, and 19 (Federal Income Tax W/H, Social Security Tax W/H, Medicare Tax W/H, State Income Tax W/H, and Local Tax W/H).

Who do I contact for other questions?

Please contact human resources at humanresources@creighton.edu or 402.280.2709.

Policy Q & A

Who should I contact with my questions about tuition remission and discount?

For questions regarding eligibility for the Tuition Remission and Discount, FACHEX, Tuition Exchange, and High School Tuition Discount benefits, contact Human Resources at benefits@creighton.edu; 402-280-2709. 

For questions regarding the admissions application for your intended program and enrollment in classes, contact Enrollment Management at admissions@creighton.edu; 402-280-2703. 

For questions regarding the Tuition Remission and Discount Benefit not appearing on the tuition bill you received from Creighton, contact Human Resources at benefits@creighton.edu; 402-280-2709. 

For questions regarding Fees, Financial Aid, Status, and Hour Requirements, contact Student Financial Services at  studentfinancialservices@creighton.edu; 402-280-2707.

How many credit hours can be taken under the Tuition Remission and Discount Policy?

Please see the chart above for detailed information on eligibility, qualified programs and credit hour limits.

If my dependent is admitted to Creighton University, are they guaranteed the Tuition Remission and Discount benefit?

Yes, provided your dependent has been admitted to Creighton University and that you are in a benefit-eligible position prior to the academic term for which you wish to use this benefit. In addition, the Tuition Remission Application Form must be completed prior to the first day of the academic term for which you wish to use this benefit.

I am new to the university. Are we eligible for the Tuition Remission and Discount benefit?

Eligibility for participation in the tuition remission program begins at the start of the first semester following the employee’s date of hire. To be eligible for tuition remission or discount benefits, an employee must be benefit eligible and have an active status until the University’s official drop/add deadline for each semester in which the benefit will be used by that employee or their spouse/dependent child. If an employee resigns or is terminated from the University prior to the drop/add deadline, the tuition remission benefit will be rescinded, and all tuition will be charged back to the student’s account, and any paid associated tuition remission administrative fees will be refunded to the student’s account. Tuition remission and discounts will not be awarded retroactively.

My dependent is currently an undergraduate student at the University, but I am a new employee. Can we use the Tuition Remission and Discount benefit? 

Eligibility for participation in the tuition remission program begins at the start of the first semester following the employee’s date of hire. Tuition remission and discounts will not be awarded retroactively. The employee must complete the Tuition Remission Application Form prior to the first day of the academic term for which you wish to use this benefit.

How do I enroll myself, spouse or dependent in the program?

The employee must complete the online form for each academic term that they wish to use the benefit.

is there a different process for employees planning to access the benefit for themselves?

The Tuition Remission and Discount application process is the same for both employees and their dependents. The employee/dependent must first apply to and be accepted for the academic program they wish to pursue. Once admitted, the employee must submit the Tuition Remission Application form (for either themselves or their dependent).

As an employee, can I attend courses during work hours?

An employee may attend courses during work hours with the approval of his or her immediate supervisor. Lost work time resulting from class attendance must be made up.

Is there a certain GPA that must be maintained, to continue receiving the Tuition Remission and Discount benefit?

To remain eligible for tuition remission, the student must

• not be on disciplinary probation or suspension at Creighton University, as defined in the Student Discipline Policies and Procedures in the Creighton University Student Handbook.
• not be on disciplinary probation, suspension or expulsion as a result of non-academic misconduct at any other institution of higher education.

Can I receive the Tuition Remission and Discount benefit for courses that were taken prior to my employment at the University?

Tuition remission and discounts will not be awarded retroactively.

Does this benefit extend to stepchildren?

Yes, it does extend to stepchildren that meet the definition of a “Dependent Child.” “Dependent Child” refers to the employee’s child, step-child or adopted child, under age 24, who is a dependent for federal tax purposes, who has never been married, and who is qualified to receive a “qualified tuition reduction” under the IRS Code. The University may request evidence of such qualification. (Note: employees with an initial employment date or re-employment date prior to October 1, 2004, may receive tuition remission for his/her dependent child under age 25)

Are dependents eligible to complete some graduate school courses using the tuition remission benefit? If so, is this a new benefit?

The Tuition Remission and Discount policy was enhanced in August 2023 and provided spouses/dependents with a discount on qualified post-Bachelor’s programs. For a spouse/dependent, a 25% reduction from published tuition is available for qualified post-Bachelor’s programs (up to 36 credit hours). See chart above for more details on eligible programs and discounts.

As I am reading the policy for the post-bachelor credit hours, it is a 25% reduction in the credit hour rate up to 36 credit hours. Is that correct or is it 100% remission?

For the employee, qualified post-Bachelor’s programs have a 100% tuition remission benefit. There is no total credit hour limit for the employee. However, employees are limited to a maximum of 2 courses per semester or term.

For a spouse/dependent, a 25% reduction from published tuition is available for qualified post-Bachelor’s programs (up to a total of 36 credit hours).

Is there a way for an employee to take undergraduate classes at another institution through tuition remission? 

Courses taken by an employee at another institution do not qualify for the tuition remission and discount benefit. There are a number of programs at Creighton that can be completed mostly or entirely online, however. On the Discover Your Path page, you can search specifically for online programs.

Is there an easy way to search for Creighton online undergraduate and graduate programs? 

The Discover Your Path page is a helpful resource for searching all academic programs at Creighton.

Is this similar to the process for the high school discount offered?

The process and timeline for the High School Tuition Discount Program differs from the Tuition Remission and Discount process. Please visit the High School Tuition Discount page for information regarding that process and timeline.

i noticed the administrative fee for dependents enrolled in undergraduate programs. is there an administrative fee for graduate programs?

For benefits eligible employees, the 100% tuition remission for graduate coursework does not have an associated fee. The 25% discount/reduction from published tuition rates for qualified post bachelors programs for eligible dependents also does not have an associated additional fee. However, Graduate tuition remission and discounts for employees, their spouses and dependent children may be considered taxable income to the employee in accordance with Internal Revenue Service regulations. See https://www.irs.gov/government-entities/federal-state-local-governments/qualified-tuition-reduction  for further information. Currently, the amount is $5,250 per calendar year. The value of any graduate tuition above this amount will result in taxes being withheld from the employee’s paycheck. 

Are there taxes on tuition remission, FACHEX or Tuition Exchange for dependents?

There are no taxes on undergraduate tuition remission, FACHEX or TE for dependents and/or spouses. Graduate tuition remission and discounts for employees, their spouses and dependent children may be considered taxable income to the employee in accordance with Internal Revenue Service regulations. See https://www.irs.gov/government-entities/federal-state-local-governments/qualified-tuition-reduction for further information. Currently, the amount is $5,250 per calendar year. The value of any graduate tuition above this amount will result in taxes being withheld from the employee’s paycheck. 

FACHEX and Tuition Exchange Programs

Faculty and staff, if you have a child(ren) interested in FACHEX or Tuition Exchange you will need to complete the application. All applications must be completed by December 1. Information regarding eligibility, policies, benefits, availability and more can be found on the FACHEX site and Tuition Exchange site. 

Is FACHEX renewable if you were selected?

A new application is not required if your eligible dependent was selected for FACHEX. The recertification process is completed by Human Resources. Once recertified, an email notification is sent to both the student and the parent. The renewal process is automatic each year.

Can a student applying for FACHEX or TE apply to multiple schools for exchange?

Yes, a student can apply for FACHEX or Tuition Exchange at multiple schools.

Is there a list of FACHEX schools? How many FACHEX schools overlap with TE schools?

A list of schools participating in FACHEX can be found at https://ajcunet.edu/fachex/. A list of schools participating in Tuition Exchange can be found at https://telo.tuitionexchange.org/schools.cfm. Please also visit these sites maintained by Creighton for added information:  FACHEX site and Tuition Exchange site