2020 Employer Opportunities Giving More While Spending Less

Due to the Covid-19 crisis, two opportunities are available for employers to consider before the end of 2020: (1) Employer Disaster Relief Programs and (2) Educational Assistance Payment Programs. The Employer Disaster Relief Program is permitted via an Internal Revenue Code section which allows employers to grant (gift) money to employees (and others) to assist during these trying times. The Educational Assistance Payment Programs have existed for some time but the CARES Act added a new provision that permits assistance with qualified student loan payments (not just tuition reimbursement) up to $5,250. The benefit both programs offer is that the grant or education payment is not included as income for the employer or employee, and the employer may still deduct the amount given to the employee. Such treatment means that no employer/employee employment taxes are applied to the payment and the employee does not have to include the money for purposes of calculating their income tax liability. These opportunities allow employers to give more to employees while spending less than what a traditional “bonus” would cost the employer who was looking to help employees during these tough times

Live Interactive Q&A

Bring/Submit Your Questions

Time will be reserved to answer specific questions from attendees and we encourage those in attendance to come with questions prepared. If you would like specific questions addressed, you are invited to submit questions in advance.

Panelists

Joe Percopo
Mateer Harbert, P.A. (Orlando, Florida)
Mr. Percopo received his law degree from Florida State University College of Law, where he graduated in the top 3% of his class with highest honors. After graduating from law school Mr. Percopo went on to receive his Master of Laws in Taxation from the University of Florida Levin College of Law, one of the nation’s leading programs for the advanced study of tax law. Mr. Percopo currently practices in Orlando, Florida with an emphasis on tax, business, estate planning, and asset protection.

Kathleen Hugo
Mateer Harbert, P.A. (Orlando, Florida)
Ms. Hugo received her law degree from the University of Richmond School of Law, where she graduated magna cum laude. Ms. Hugo is currently an associate attorney at Mateer Harbert, P.A., in Orlando, Florida with a focus on real estate, business and collections matters.