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Thank you, Stephanie! Very helpful. Would you consider sharing the pay to student form? If so and if you prefer, my email is loritrenholm@dccfoundation.org.

Hi everyone,

We have a new scholarship in which the donors want the scholarship to have the option of the student being allowed to use funds for room and board; specifically, assistance with off campus apartment rent or living expenses. All our scholarship payments are made to the student's tuition account at his/her school and are nontaxable. Do any of you have experience on potentially taxable scholarships? If so, how do you manage them? Thanks in advance for any guidance!

Hello @loritrenholm!

For students who are receiving scholarship money directly, we have them sign a "pay to student" form. In the form, we have a paragraph to inform them that if money is being used for non-educational purposes (i.e. tuition, books, materials, school fees, etc.), they must complete a w-9 and will receive a 1099-misc after the end of the calendar year. For many of our students, their income isn't enough to impact, but we still inform them of the possibility of taxes.

I hope this helps...