Tax-free student loan payments!

The Consolidated Appropriations Act of 2021 provides for tax free student loan payments. Employers pay up to $5,250 on student loans. It is a tax-free benefit to employees. This means that through Dec. 31, 2025, employers can choose to make tax-exempt annual contributions of up to $5,250 per employee toward eligible education debt. The funds do not count toward an employee's gross taxable income.