Because the cost to MIT for the Children's Scholarship Plan is increasing, changes in this plan and in the Educational Loan Plan will be made, effective July 1.
During the past year, the Strategic Review of Benefits Committee (SRB) studied the Children's Scholarship Plan and its use by faculty and staff. The Committee is chaired by Senior Vice President William R. Dickson and includes academic deans, vice presidents, and members of the faculty and staff from Lincoln Laboratory and Campus.
The plan (which provides tuition grants to children of eligible employees) will lose governmental financial support in fiscal 1999, raising the net cost to MIT from $1.8 million to $4.7 million. The SRB has reviewed the plan and its financing and the following changes will be made effective July 1:
- For current employees, eligibility for grants for undergraduate study at schools other than MIT will remain the same.
- The benefit provided for children who attend MIT will be 100 percent for all current and future employees who are eligible for the benefit.
- The benefit for undergraduate study at other universities will be eliminated for all future employees, except for tenured faculty.
- The benefit for graduate study at MIT will be eliminated for all current and future employees, including tenured faculty. The elimination of graduate study support will not affect children currently enrolled in a graduate degree program.
No other plan requirements have changed. If you are a member of a collective bargaining unit, all the provisions of the Children's Scholarship Plan are subject to the collective bargaining process and the terms of your collective bargaining agreement. If you have questions or concerns about how these changes may affect you, send e-mail to firstname.lastname@example.org or call the Benefits Office at x3-6108.
EDUCATIONAL LOAN PLAN
An Educational Loan is also available to eligible MIT employees to help pay for their child's higher education. The current interest rate for the Educational Loan Plan is 5.8 percent (subject to change). The limits for the plan have increased effective July 1. If you work part-time, the amounts you can borrow and your maximum outstanding balance are prorated.
Full details are available on the Benefits Office web site.
A version of this article appeared in MIT Tech Talk on June 3, 1998.