♠ Posted by Marc J. Soss in 401(K) plan,financial planning,IRS approves student loan debt plan,IRS Private Letter Ruling,Student loan debt repayment,student loan repayment,tax planning
On August 17, 2018, at the request of a 401(k) plan sponsor, the IRS issued a private letter ruling 201833012 (the “Ruling”). The Ruling was requested with the intent of assisting individuals, currently around forty-four (44) million Americans with student loan debt of more than $1.3 trillion dollars. The Ruling provides a method for employers, under certain circumstances, to provide a student loan repayment benefit as part of their 401(k) plans and link the amount of employer contributions made on an employee’s behalf to the amount of student loan repayments made by the employee outside the...