February 17, 2011 at 5:48 pm #123373
What agencies are participating in the student loan repayment program? What is the application process like? Should more agencies participate in this program? Please share…
I am an acquisition professional and my agency does not participate in this program 🙁
February 18, 2011 at 5:34 pm #123403
I have a client at VA who received a $10,000 loan repayment bonus two years ago so the agency participates – they just may not have the budget dollars. Something to be aware of, though, is that this bonus is taxable to you. This means that the bonus could eat up your tax refund.
February 18, 2011 at 5:55 pm #123401
Wow, I didn’t know that. Thanks for sharing Rebecca.
February 22, 2011 at 2:00 pm #123399
I submitted paperwork for my agency, VA a few months ago and am waiting to hear what will happen. With the large changes occuriring in Federal pay and job freezes, it is hard to say who will offer this type of incentive. I suggest, you “shop around” they usually say in the job announcements if they will be offered. If you do, make sure you get it in writing, or even see if they will pay before or right after you are hired.
February 22, 2011 at 2:05 pm #123397
Good advice. Thank you Andrew! I hope VA approves your loan repayment application soon.
February 25, 2011 at 10:07 pm #123395
State Department was one of the first agencies to offer a Student Loan Repayment Program. The amount has always been below the maximum the law allows, but it has spread the money out to benefit the largest possible number of employees as a result.
It’s not an easy process to qualify for since the implementing regulations put some gates in the language on when the authority can be used — there are fewer gates for recruitment than for retention.
Here’s a link to the Department’s FAQs for prospective employees: http://careers.state.gov/root/faqs/faqs/faqs/will-the-federal-government-repay-my-college-loans-2
February 28, 2011 at 3:20 am #123393
Thanks for your post Sandra! Any loan repayment is better than none. I’ll take whatever they can give me. 🙂
February 28, 2011 at 1:17 pm #123391
I’ve had a few friends get it at DHS. To me it seems to vary drastically both across agencies and within agencies. So even within DHS, each sub-agency varied. And it depended a lot on your specific division.
With the high demand for acquisition professionals, I think you should be able to get it at the right agency. I’d also make a case for it (don’t just accept no for an answer). Put together a 1-pager on what agencies using it, the lack of acquisition professionals, and how important to you
February 28, 2011 at 2:39 pm #123389
Bryan Conway JD, PMPParticipant
I have heard that my agency, DoD, participates, but only for certain positions. I believe that certain engineers were receiving this benefit as a recruiting / retention tool.
February 28, 2011 at 3:08 pm #123387
March 1, 2011 at 12:13 am #123385
Great idea. Thanks!
March 1, 2011 at 12:15 am #123383
Thank you Bryan and Tarryn.
March 19, 2011 at 8:02 pm #123381
If they do end up offering this benefit, a word of advice:
Before signing, be sure that you understand the tax implications. I applied for student loan repayment a few years ago and was shocked to find that the federal government taxes it’s own benefit. So if you get $10,000 that year, that amount is considered income. Uncle Sam will tax you on the $10K and withhold just like regular income, so you will only get about $6K paid directly to the lender.
March 20, 2011 at 4:04 pm #123379
Good catch. Didn’t know that.
April 29, 2011 at 1:45 pm #123377
Dave Hetterly IVParticipant
The Army Corps of Engineers (at least my district) recently solicited for qualified participants. We were advised that the amount that is approved will be sent ever two weeks to the lender in the form of an allotment on the check.Then the tax implications would be witheld on top of that. So, in theory, you would get what you were approved but then your check will be lower because they witheld taxes from your regular pay. Which is still cheaper than you making the payment yourself!
October 27, 2011 at 9:20 pm #123375
Gary T LefkoParticipant
With new “Student Loan Reform” where do Feds (like us) find a simple resource that outlines what we qualify or not qualify for? It’s ridiculous we have to chase information like this … 😛 Gary
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