The $5,250 education benefit cap: stuck for 40 years
If indexed to inflation, it would exceed $15,000 today. In 2026, it will finally rise.
Source: Bureau of Labor Statistics Consumer Price Index
Effective January 1, 2026 | Applies to new agreements only
Before vs. after
California AB 692
Company-specific certification with repayment
Before
Jan 1, 2026
After
Jan 1, 2026
Not allowed
Credited degree with repayment
Lump-sum repayment when employee
quits
Prorated repayment schedule
Repayment even if employer terminates
✖
Allowed
Not allowed
✖
Allowed
Not allowed
✖
✓
✓