Carnegie Mellon University

Tuition Benefits for Faculty Members

Benefits-eligible, full-time faculty members are encouraged to take advantage of the university's tuition benefits program. Full-time, benefits-eligible faculty members can also receive tuition assistance for their dependent children. You can initiate and track tuition benefits requests through Workday for yourself and your dependent children.

Eligibility and Benefit Features

Eligibility

Courses Taken at Carnegie Mellon: Benefits-eligible full-time faculty

Courses Taken at Another Institution: Benefits-eligible full-time faculty who are employed by Carnegie Mellon on the first day of the full semester on the Pittsburgh campus

Number of Classes

Two courses at any one time per term (at one or multiple institutions)

Course is defined as the equivalent of a 9- or 12-unit, semester-length class on the Pittsburgh campus during the fall, spring, or first or second summer semesters. Alternatively, up to four (two if part-time) 4½- or 6-unit minis may be taken per semester, provided no more than two are taken at a time.

Benefit Level

Courses Taken at Carnegie Mellon: 100% tuition remission

Courses Taken at Another Institution: 50% tuition assistance
The reimbursement for a class taken outside of the university will be at 50% of the tuition charged, but cannot exceed the Carnegie Mellon tuition for a 9- to 12-unit course during the same period.

Course Content

Courses Taken at Carnegie Mellon: Any

Courses Taken at Another Institution: Career-related or part of a career-related degree program

Taxation

Applicable taxes will be withheld from your salary, not from the benefit.

Taxes must be withheld in the year in which the benefit was received (i.e., when the check is issued), regardless of when the courses are taken.

Tax Withholding:

Graduate tuition benefits that exceed $5,250 in a calendar year are subject to federal withholding (including benefits for undergraduate classes taken while enrolled in a graduate program). The first $5,250 in graduate level tuition benefits per calendar year is exempt from federal taxes. If you are registered as a visiting/non-degree student, taxes will be assessed on a per course basis.

Undergraduate and graduate level tuition benefits for courses taken at an institution other than Carnegie Mellon are subject to state and local taxes.

Taxes assessed on your tuition benefits will be withheld from your pay by Carnegie Mellon in three monthly installments (for those paid monthly) or in six biweekly installments (for those paid biweekly). Taxation will begin with the next pay following your application approval, and will be withheld across three months, or the number of months remaining in the calendar year, whichever is less. Changes to your benefit level in the middle of a semester (for example, adding or dropping a class) will be reflected in the taxes withheld in the remaining months.

Generally, employer-provided graduate tuition benefits that exceed $5,250 in a calendar year are subject to federal withholding. Tuition benefits may be tax-free if they represent a working condition fringe benefit under IRS regulations. While Carnegie Mellon University is required to withhold federal taxes on graduate tuition benefits that exceed $5,250 in a calendar year, employees may consult with their tax advisor to determine if they qualify for any exemptions when filing their tax return.