Tuition Reduction Benefit (TRB)

Information Session
July 1, 2013
TRB for academic year 2013-2014
After academic year 2013-2014
TRB Processing
Selecting the Right Benefit
Demo of the TRB Document
Frequently Asked Questions
Taxes are withheld on Tuition Assistance
Benefits (TAB) and on SS2s with “job duties
TAB is confusing with 75% being applied to
tuition, then 25% less taxes coming later as a
direct payment
Difficult to determine the benefit amounts
when you want to fully cover tuition
Why is this changing?
UT System’s Office of General Counsel
rendered an opinion that benefits reducing
tuition can be considered nontaxable for TAs,
AIs, and GRAs
Colleges want more flexibility in deciding
which students receive benefits, and in what
Starting Fall 2013: Tuition Reduction Benefit
Flexible, nontaxable benefit for students
assigned in TA, AI, and GRA job codes
Replaces Tuition Assistance Benefit (TAB) for
TAs and AIs
Replaces tuition remission for GRAs
Applies towards resident tuition only
TRB does NOT affect
Scholarships/Fellowships (SS1s)
SS2 tuition benefits for undergraduate
SS2 tuition benefits where job duties are not
SS2 tuition benefits to cover nonresident
tuition or fees for TAs, AIs, or GRAs
SS2 documents with job duties required will
continue to withhold taxes
Provost’s funds currently budgeted for TAB
will be used to cover TRB for TAs and AIs
assigned on eligible accounts
Colleges need to create TRB documents
 $3784 for 20 hour assignments
 $1892 for 10-19 hour assignments
 Office of Graduate Studies will monitor
 FRMS will verify eligibility on 20th class day
Units can create additional TRB documents to
provide discretionary benefits to TAs, AIs, and
GRAs from noncentral (local) funds
 Benefits must be related to employment
 May be additional benefits for TAs and AIs
 GRA benefits must follow the rules of the grant
from which they are paid
 Total TRB benefits will never exceed tuition bill
The new Provost may reevaluate the tuition
benefit budget and distribution policies
Each college will develop a procedure to
process SS3 documents
 Centralize in the dean’s office?
 Delegate to individual departments?
Electronic office managers have been notified
regarding setup of routing and command
One account per document
Up to 200 recipients per document
Upload recipient information from Excel to
quickly populate a document
Format will be a two-column spreadsheet of
UT EIDs and benefit limits
Utilizes the *FBMENU AR Code system
 AR codes have 3-character identifiers
 Each AR code is a profile that indicates what
portions of a tuition bill can be covered and by
what account
 *DEFINE SS2 and TRB documents are used to apply
AR codes to students’ profiles
 Departments determine what can be covered by
an AR code when they process SS2s
Utilizes the *FBMENU AR Code system
 TRB AR codes cover resident tuition
 AR codes are applied when tuition bills are
calculated, reducing the bill amount
 At mid-semester, SAR runs tuition billing jobs to
move funds from the account on the AR code
profile to tuition income accounts
 Adding or removing an AR code results in a
recalculation of the tuition bill, which can result in
an amount due from or due to the student
FRMS Scholarship/Fellowship (SS1)
Provide direct payments to individuals.
Departmental Tuition Credits (SS2)
Reduce a student’s tuition bill. Taxes are withheld if related
to employment (job duties required). Done in *DEFINE.
FRMS Tuition Reduction Benefit (SS3)
Reduce the tuition bill of a TA, AI, or GRA as a nontaxable
benefit of employment.
What if a TA or AI has part-time TA assignments
in two colleges?
What if a TA or AI has part-time TA assignments
in two colleges?
TRB looks at total hours assigned to determine
benefit amount on Provost’s funds. Colleges
should coordinate. OGS will monitor. This only
applies to academic year 2013-2014.
How will Provost’s funds be distributed to
How will Provost funds be distributed to
For 2013-2014, an account will be created for
each college within the Provost’s unit. The
Provost, in consultation with the Graduate
School, will ensure that TAs and AIs on eligible
accounts are covered.
Are Provost’s funds to be used to provide TRB
benefits for GRAs?
Are Provost funds to be used to provide TRB
benefits for GRAs?
Not for academic year 2013-2014. Provost’s
funds may only be used to provide benefits to
TAs and AIs on eligible accounts. Decisions
regarding 2014-2015 and beyond will be
determined by the new Provost.
How do I pay for the portion of a TA, AI, or GRA’s tuition not
covered by TRB (e.g., 10-hr nonresident TA)?
How do I pay for the portion of a TA, AI, or GRA’s tuition not
covered by TRB (e.g. 10 hr nonresident TA)?
SS3 document
To pay balance of resident tuition bill from local college
SS2 document
 For TAs and AIs must decide if it’s related to employment
 For GRAs, it must be a fellowship
SS1 direct payment

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