> ## Documentation Index
> Fetch the complete documentation index at: https://docs.talcottforge.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Fee Reimbursement

> How your C-Corporation can reimburse ROBS setup costs.

After your ROBS-funded business is operational, the C-Corporation may reimburse you for setup costs incurred during the formation process. There are two methods.

## When the Option Appears

Once your business is funded, your post-funding dashboard activates. The fee reimbursement election appears in the **Action Required** section (Zone 2) of that dashboard. You can elect your preferred method at any time after funding is confirmed.

## Reimbursement Options

<Tabs>
  <Tab title="Cash Reimbursement">
    The C-Corporation pays you \$5,000 in cash to reimburse the setup fee.

    **How it works:**

    * Board resolution authorizes the reimbursement
    * Payment is made from corporate funds to you
    * May be treated as a business expense if it qualifies under applicable tax rules
    * Tax treatment should be confirmed with your CPA or tax advisor

    **Best for:** When the corporation has sufficient cash flow and you prefer an immediate cash reimbursement.
  </Tab>

  <Tab title="Share Reimbursement">
    The C-Corporation issues additional shares to the 401(k) plan trust, with the value equivalent to the \$5,000 setup fee. Shares are issued using the documented transaction value.

    **How it works:**

    * Board resolution authorizes the share issuance
    * Additional shares are issued to the plan trust using the documented transaction value
    * Nexus generates the required documentation for your records

    **Best for:** When you want to preserve cash in the business and are comfortable receiving additional equity in the plan.

    <Warning>
      Share reimbursement has additional compliance considerations because it affects the relationship between the plan trust and the corporation. Nexus generates the required records when you elect this option, but you should review the choice with your CPA or tax advisor.
    </Warning>
  </Tab>
</Tabs>

## Required Documentation

Regardless of method, you need:

| Document             | Purpose                                                        |
| -------------------- | -------------------------------------------------------------- |
| **Board Resolution** | Corporate authorization for the reimbursement                  |
| **Receipt/Invoice**  | Documentation of the fees being reimbursed                     |
| **Meeting Minutes**  | Record that the board discussed and approved the reimbursement |

Nexus generates the required reimbursement records when you elect fee reimbursement from your dashboard.

## Tax Treatment

Setup-fee reimbursement may be treated as a C-Corporation business expense if it qualifies under applicable tax rules, including IRC 162. Talcott Forge does not provide tax advice or prepare tax returns. Confirm the treatment with your CPA or tax advisor before relying on a deduction.

## When to Elect

Fee reimbursement is available after your ROBS funding is complete. The election option appears in the **Action Required** section of your post-funding dashboard.

<Card title="After Funding" icon="arrow-right" href="/robs/post-funding">
  Learn about all post-funding steps and obligations.
</Card>