Student loan borrowers are often in a delicate financial situation, so we encourage everyone to keep an eye out when it comes to new tax legislation.
(PRWEB) February 15, 2018
How is the new tax legislation going to impact current or former students in higher education? A couple of key tuition and student loan tax laws are actually sticking around in 2018. However, tax codes and enforcement can change in the future, so paying attention is important. Ameritech Financial, a document preparation company which assists federal student loan borrowers in applying for repayment plans and forgiveness programs, encourages students and students loan borrowers to stay up to date with tax laws that affect them, perhaps discussing such matters with an accountant.
“Student loan borrowers are often in a delicate financial situation, so we encourage everyone to keep an eye out when it comes to new tax legislation,” said Tom Knickerbocker, Executive Vice President of Ameritech Financial. “Luckily, there is some positive news for students and student loan borrowers.”
Here are two parts of the tax law concerning student in higher education and student loans:
1) Graduate school tuition waivers will remain untaxed. This is great news for PhD students or any other kind of grad student who might get his or her tuition funded through a waiver. Despite tuition reprieves, grad students work on notoriously modest budgets, so a tuition waiver tax was widely thought to be an undue burden. While a tax on the waivers was in the original tax bill last year, it never made it to the final version that became law.
2) Student loan interest deductions will remain in place. This is likely welcome news to student loan borrowers. This deduction allows student loan borrowers to deduct up to $2,500 in interest per year. Like the tuition waiver, eliminating this deduction was floated in earlier versions of the bill, but didn’t make it to the final version.
While these elements of the tax law look beneficial for students, federal student loan borrowers in repayment may be looking for more help with other issues regarding their student loans. Ameritech Financial assists borrowers in applying for and staying enrolled in repayment plans and forgiveness programs offered by the Department of Education. As a private company, not affiliated with the government or any loan servicer, Ameritech Financial acts as a guide and an advocate for all clients as the company assists in this process. Borrowers who enter into repayment plans like income-driven repayment often see their monthly payment reduced because the payment is based on income and family size.
“While there is some good news in there, we’re not sure what the net impact of this new tax law on the world of tuition and student loans will be,” said Knickerbocker. “But what we do know is a lot of student loan borrowers need more support. Ameritech Financial can help borrowers apply for programs intended to get federal loan borrowers to a place where their payments are more affordable, and hopefully improve their financial situation.”
About Ameritech Financial
Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.
Ameritech Financial is a member of the Association for Student Loan Relief (AFSLR), and each representative on the phone has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).
Ameritech Financial prides itself on its exceptional Customer Service.
To learn more about Ameritech Financial, please contact:
5789 State Farm Drive #265
Rohnert Park, CA 94928