I own an S corp and I am the only employee. I think I would like to create an educational assistance program for the company to pay for my student loans with pre-tax dollars. IRS publication 15-b says that I must create a written plan and it provides a list of criteria to allow myself to use the program.
One of those criteria is "The program doesn't provide more than 5% of its benefits during the year for shareholders or owners (or their spouses or dependents). A shareholder or owner is someone who owns (on any day of the year) more than 5% of the stock or of the capital or profits interest of your business." Would I break this criteria if I am the only employee and I am receiving this benefit?
Chapter 11 of https://www.irs.gov/pub/irs-pdf/p970.pdf describes Employer-Provided Educational Assistance and Chapter 4 describes a qualified loan, which I qualify for.
I have attached screenshots to make it easier for you to not have to scour these pages for what I am seeing but I also attached links in case I am missing something.
Thank you for looking at this with me!