Forgiveness
of the Employer Assisted Housing Loan
For employees are given
approval on their eligibility to receive the EAHP Forgivable Loan,
the forgiveness of the loan is given on the following schedule:
| One year of employment after loan: |
10% is forgiven; |
| Two years of employment after loan:
|
additional 15% is forgiven; |
| Three years of employment after
loan: |
additional 20% is forgiven; |
| Four years of employment after loan: |
additional 25% is forgiven; |
| Five years of employment after loan: |
the balance (30%) is forgiven. |
The employee must attain
the milestone date as shown, before that portion of the loan is forgiven.
As the loan is forgiven, employees will be responsible for any income
taxes on that amount. The balance of the loan is due immediately for
the reasons shown on the "Employer
Assisted Housing Program Requirements."
