Can I use employer tuition assistance tax-free, and how much?

Often, yes. The IRS lets employers provide educational assistance that you can exclude from your taxable income up to an annual limit set in the tax code, currently $5,250 per year, covering tuition, fees, books, and supplies for job-related or even some non-job-related courses under a qualified plan. Amounts above that limit are generally taxable as wages unless they qualify as a working-condition fringe benefit. This benefit can apply to undergraduate and graduate coursework, making it a powerful, tax-free way to fund a degree. Some employers also reimburse student loan payments under the same educational-assistance provision, a rule Congress has extended, so confirm current terms on irs.gov. Check your benefits handbook for eligibility, minimum-grade requirements, and any clawback if you leave soon after. Free or subsidized tuition from an employer is one of the best deals in education funding.