Education allowance policy for assignees' children (sample)
A policy form for eligibility, scope, caps and claims.
Sample template — review against your company rules and with legal counsel
This is a sample to help you design your own policy. Amounts, rates and eligibility are left blank. Tax treatment, labour and privacy matters must be decided with your HR, tax and legal teams and outside advisers. Do not adopt it as company policy as is.
Article 1 Purpose
This policy sets the rules and procedure by which [Company name] (the "Company") supports the education costs of children of employees assigned abroad.
Article 2 Eligibility
- Employees on assignments of [N] months or longer
- Children aged [N] to [N]; up to [N] children per employee
- Children living with the employee (exceptions such as boarding need approval by [department])
Article 3 Model
The Company supports education costs under [chosen model]:
- Full coverage: the full tuition invoiced by the school
- Capped: actual costs up to [amount and currency] per child per year
- Difference: the difference to the cost of a local public school
Article 4 Covered items
- Tuition: [included/excluded]
- Application and enrolment fees: [included/excluded]
- Capital levy / debenture: [included/excluded; treatment of refunds]
- Deposit: [included/excluded; who receives the refund]
- EAL / ESL support: [included/excluded]
- School bus, lunch, uniforms: [included/excluded]
Article 5 School choice
Eligible schools follow the [school-selection guideline]. Schools outside it need prior approval by [approver].
Article 6 Claims and payment
- Claim: copy of the offer letter and school invoice by [deadline]
- Payment: [direct to school / reimbursement]
- Exchange rate: [reference rate and date used]
- Records kept for: [period]
Article 7 Tax
Whether the allowance is taxable and how withholding applies follow the applicable law and your tax team's review. [Record the review outcome]
Article 8 End of support and repayment
- When support ends after the assignment or resignation: [rule]
- Repayment on early resignation: [rule; legal review required]
Article 9 After return
Support for foreign or international schools in Korea after return, and for how long: [defined / not supported]
Article 10 Privacy
The Company collects only the minimum needed to run the allowance and does not collect children's academic or counselling information. [Link to privacy notice]
Addendum
This policy takes effect on [date].