TA / AI Tuition Assistance

Students employed as Teaching Assistants (TAs) and Assistant Instructors (AIs) receive tuition assistance as a benefit of their student academic employment. The assistance amount is based on the number of hours of the TA/AI appointment and is paid on a semester basis.

Here is how it works:

• The department completes the TA/AI assignment process.
• 75% of the total assistance entitlement is applied to the student's tuition bill prior to the payment deadline.
• Tuition credit is shown as "Third Party Billing" on the tuition bill.
• Student pays the remainder of the tuition bill by due date.
• Even if there is a ZERO BALANCE, students MUST CONFIRM their registration. You must see a message in GREEN LETTERS that says, "Your registration is complete and your courses are secured."
• The remaining 25% of the amount (minus taxes on the entire tuition assistance amount) will be paid to the student on the first semi-monthly payroll cycle of the semester.

A few things to note:

• A student must be registered to receive the benefit.
• If a student has other amounts that will be applied to their tuition bill, they will be applied in this order: Exemptions, Assistance (including Scholarships and Tuition Assistance) and any other remaining amounts such as tuition remission.
• Tuition assistance is considered to be wages paid to the student and is subject to taxes. The amount paid by the benefit will be included on the student's W-2 or 1042-S Form (for non-U.S. citizens claiming a tax treaty) along with any other earned income. Tuition assistance amounts will be taxed separately from other income received in the same pay period and will be based on the withholding status claimed on IRS Form W-4.
  • Find current tax tables at http://www.utexas.edu/payroll/info.html
  • Learn more about tax considerations for Student Employees

Policy Memoranda covering this topic may be found at:
http://www.utexas.edu/policies/hoppm/pm8101.html
http://www.utexas.edu/policies/hoppm/pm8106.html