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Negotiating your expat school fee allowance

Senior corporate postings often include tuition support at one of three levels: full coverage (rare, usually senior executives), partial coverage capped at a per-child amount (most common), or no coverage with a higher cash salary instead.

What employers typically cover

Senior corporate postings often include tuition support at one of three levels: full coverage (rare, usually senior executives), partial coverage capped at a per-child amount (most common), or no coverage with a higher cash salary instead.

What to push for

Per-child cap that matches actual local premium school fees, sibling discount alignment (not capped per child if siblings cost less), capital levy and one-time fee coverage separately, repatriation transition cover if posting ends mid-school-year.

Tax treatment

School fee allowances are typically taxable as part of income in most jurisdictions. UK, US, Australia and most EU countries treat them as benefits in kind. The Gulf is the major exception (no income tax). Net the gross-up into your negotiation.

Practical mechanics

Request the school fee allowance is paid directly to the school by the employer where local tax rules permit; this can simplify the tax treatment. Where it must flow through payroll, ensure the gross-up is calculated correctly.

Related

See negotiate employer school allowance.

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