Total student loan debt has reached nearly $1.75 trillion, affecting 46 million Americans. According to Student Loan Hero55% of the Class of 2020 took out student loans and graduated with an average student debt of $28,400.
With student debt being such a big issue, more and more companies are offering their employees student loan repayment assistance and using this benefit as a recruiting tool to attract new talent. After all, when you’re $30,000 in debt, which perk is more appealing — a free gym membership or significant help with your student loan debt?
In a 2020 survey, SoFi found this student loan repayment assistance was the second most requested financial wellness benefit — just behind a 401(k) retirement plan with a match.
And thanks to the CARES Act, any money your employer pays to help you pay off your student loans isn’t taxable. Whether the payments are made to the employee or the lender, up to $5,250 of assistance is excluded from taxable income until 2025.
Here are more than a dozen notable employers whose benefits can help you pay off your student loan.
14 companies that offer a student loan repayment benefit
Over the past decade, many notable companies have jumped on the student loan repayment assistance bandwagon. Here are some of the most notable.
the financial services giant pays up to $2,143 per year, and a lifetime maximum of $15,000, in student loan payments for regular employees who work at least 30 hours per week. Workers who work 20 to 29 hours per week can receive up to $1,071 per year with a lifetime maximum of $7,500 for their student loan.
In 2021, the company announced he was waiving his six-month post-hire waiting period and making the employer’s student loan repayment benefit available from day one.
2. Living Nation
“With student debt at an all time high, we are proud to have been the first entertainment company in North America to offer student loan repayment assistance. We have saved our employees over $4 million since the program launched in early 2017,” Live Nation says on their website.
The entertainment company will match employee student debt contributions up to $100 per month – or $1,200 per year, up to $6,000 for life. Employees must have worked for Live Nation for at least six months.
For eligible employees, Etna matches up to $2,000 in student loan payments per year, with a lifetime maximum of $10,000, for full-time employees. For employees who work at least 20 hours per week, Aetna offers $1,000 per year with a lifetime maximum of $5,000 for student loan debt.
In 2018, the Santa Monica-based streaming giant announced it would offer its employees student loan assistance of up to $1,200 per year.
“We estimated that 15-20% of our team members would benefit. So far, 12% have signed up,” said Taunya Post, Hulu’s director of HR operations. says Benefits News when announcing the program.
Google announced its student loan repayment program in 2021. The company will pay up to $2,500 per year in student loan payments.
In a blog post, The company said it hopes the program will help employees “pay off their student loans faster, saving them money to use in other ways, whether it’s buying a new home, start a family, or invest in a 401(k). The tech giant also said the student loan repayment program will expand globally over time.
6. Estee Lauder
Estee Lauder, a global cosmetics company, announced in 2018 that it would provide $100 per month in student loan assistance to eligible employees, with a lifetime maximum of $10,000. After the initial launch of the program, 65% of participating employees were aged 35 and under.
Visual technology company Nvidia offers an impressive student loan repayment program for full-time and part-time employees who graduated within the last three years.
Nvidia will contribute up to $500 per month directly to the employee loan department (if the monthly payment is less than $500, they will only cover that amount), with an annual cap of $6,000 and a lifetime cap $30,000 in student loan assistance.
The company also offers one-on-one student loan counseling sessions with financial experts at no cost.
8. Random Penguin House
The new New York-based publishing house became the first book publishing company to offer a student loan repayment benefit in 2016. Once employees have been with the company for a year, they are eligible for a maximum of $1,200 per year for 7.5 years, with a maximum repayment of $9,000 for student loan debt.
Partners and senior partners of PwC can take advantage of the student loan repayment benefit in which PwC will pay up to $1,200 a year for employee student loans. They will continue to pay for up to six years or until the employee is promoted to management, whichever comes first.
PwC says during those six years, an employee can see a reduction in student loan principal and interest obligations of up to $10,000 and a shortened loan repayment of up to 3 years.
As a personal finance company, SoFi offers all the services you would expect from a major bank, including a program which helps employers set up student loan repayment assistance for their employees.
In 2016, the company was at the forefront of offering student loan repayment benefits when he announced he would help his own employees pay off their student debt with $200 a month in student loan repayment assistance from the employer.
11. The Federal Government
Federal government employees may be eligible for Federal student loan repayment program. As the name suggests, it is only available for federal loans. But, if eligible, a federal worker can get significant student debt relief — a maximum of $10,000 per year and a lifetime maximum of $60,000.
12. New York Life
New York Life, the third-largest insurance company in the United States, launched its student loan repayment program in 2017. The company will pay $170 per month over five years, or a potential $10,200 in student loan assistance. repayment of student loans.
Since the implementation of the program, New York Life says more than 1,200 employees have signed up, with the company contributing nearly $9 million to student loan repayments. More than 140 employees have had their loans fully repaid.
13. Anderson Global
The global tax firm is offering all regular employees who work at least 20 hours a week the opportunity to participate in its student loan repayment program.
The company will pay $100 per month for five years. At the end of the five years, the company will provide a lump sum payment of $6,000, for a total relief package of $12,000.
Chegg is a US-based educational technology company that launched its student loan repayment benefits program in 2019.
From entry level to management level, the company provides up to $5,000 per year to employees with at least two years of seniority. From director to vice president, Chegg offers up to $3,000 per year.
This is in addition to the $1,000 the company provides to all of its employees who have student loan debt. The program is available to employees who have attended two-year and four-year institutions, whether or not they have graduated.
Robert Bruce is a lead writer for The Penny Hoarder.
This was originally posted on The Penny Hoardera personal finance website that empowers millions of readers across the country to make smart decisions with their money with practical, inspirational advice and resources on how to earn, save and manage the money.