Ibrahim Gardner
Student loan repayment assistance is an increasingly popular employee benefit, with companies across a range of industries offering this valuable perk to attract and retain talent. This trend is likely to continue, with the number of companies offering student loan repayment benefits doubling between 2018 and 2019, and a further 31% of employers planning to offer it in the future. The benefit typically comes in the form of monthly contributions towards employees' student loan payments, with some companies also offering tuition reimbursement and retirement savings plans. This assistance can significantly reduce the financial burden on employees, helping them to pay off their student loans faster and save for the future.
| Characteristics | Values |
|---|---|
| Companies offering student loan repayment assistance | Abbott, Aetna, Ally Financial, AlloSource, American Family Insurance, AmFam, Andersen, Atticus, Carhartt, Carvana, Chegg, Clayco, Nvidia, Peloton, Penguin Random House, PWC, SoFi, Terminix |
| Nature of assistance | Taxable income, direct payments to lenders, retirement savings contributions, tuition reimbursement, lump sum payments, monthly contributions, matching payments |
| Eligibility criteria | Tenure, degree status, full-time/part-time status, salary, loan status |
| Assistance amount | $50-$500/month, up to $1200/year, up to $10,000 lifetime maximum |
| Industries | Healthcare, technology, financial services, construction engineering, education services, pest control, publishing, fitness, insurance |
| Government programs | Public Service Loan Forgiveness (PSLF), Income-Driven Repayment Program (IDR), Veterinary Medicine Loan Repayment Program (VMLRP) |
| Non-profit programs | Grant writers, program directors, special events coordinators |
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What You'll Learn
Companies offering student loan repayment assistance
Several companies offer student loan repayment assistance as a benefit to their employees. According to the Society for Human Resource Management, 8% of employers offered student loan repayment assistance in 2020, up from 4% in 2018. This figure is expected to increase further, with 31% of employers planning to offer student loan repayment assistance in the future. Here are some examples of companies that currently offer this benefit:
Ally Financial
Ally Financial, a financial services company, offers a Student Loan Paydown Assistance program for its employees. Employees can receive up to $100 per month in assistance, with a lifetime maximum of $10,000. The company also offers tuition reimbursement of up to $10,000 per year and a $100/month 529 Education Savings Plan for parents saving for their children's college education.
Nvidia
Technology company Nvidia offers a generous student loan repayment program for eligible full-time and part-time employees who have graduated within the last three years. The company provides up to $500 per month in assistance, allowing employees to wipe away up to $30,000 from their student loan balance.
Chegg
Chegg, an educational services company, offers an Equity for Education student loan repayment program. Employees with at least two years of tenure can receive up to $5,000 annually for student loan repayment, while directors and vice presidents can receive up to $3,000 annually. In addition, all Chegg employees with student debt are eligible for a $1,000 annual cash grant.
Aetna
Aetna is an American healthcare company that offers a strong tuition reimbursement program and student loan repayment assistance. For full-time employees, Aetna will match up to $2,000 per year in student loan payments, with a lifetime maximum of $10,000. Part-time employees can receive up to $1,000 per year, with a lifetime maximum of $5,000.
Public Service Loan Forgiveness (PSLF)
While not a specific company, it is worth noting that the Public Service Loan Forgiveness (PSLF) program offers loan forgiveness for government employees and those working for qualifying non-profit organizations. Borrowers who meet the program requirements and make 120 consecutive payments while working for a qualifying employer can have the remainder of their direct loans forgiven.
These are just a few examples of companies that offer student loan repayment assistance. The specific terms and eligibility requirements may vary, so it is always a good idea to contact the company or refer to their official website for detailed information about their student loan repayment programs.
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Student loan repayment assistance for government employees
In the United States, federal student loan repayment programs allow federal agencies to repay federally insured student loans as a recruitment or retention incentive for candidates or current employees. Under 5 U.S.C. 5379 and 5 CFR part 537, federal agencies are authorized to implement a program under which they may agree to repay certain types of student loans. Any employee is eligible, except those occupying a position excepted from the competitive civil service because of their confidential, policy-determining, policy-making, or policy-advocating nature.
Loans eligible for payment include those made, insured, or guaranteed under parts B, D, or E of title IV of the Higher Education Act of 1965, or a health education assistance loan made or insured under part A of title VII or part E of title VIII of the Public Health Service Act. Federal agencies can choose to repay all eligible loans, such as an employee's PLUS loan.
Additionally, government employees can potentially qualify for Public Service Loan Forgiveness (PSLF). PSLF is available to individuals working full-time for the federal government, a state or local government, or a qualifying nonprofit. Borrowers who meet the program's requirements will have their loans forgiven after making 120 qualifying payments.
It is worth noting that tax-free benefits under an educational assistance program are limited to $5,250 per employee per year. Benefits exceeding this amount are typically taxable as wages. Employers offering student loan assistance may provide recurring payments directly to lenders or contribute toward retirement savings.
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Student loan repayment assistance for non-profit employees
Many nonprofit employees are eligible for student loan repayment assistance or forgiveness. The Public Service Loan Forgiveness (PSLF) program, created under the College Cost Reduction and Access Act of 2007, allows full-time employees of qualifying nonprofits to have their outstanding federal student loan debt forgiven tax-free. To qualify, employees must make 120 qualifying monthly payments under a qualifying repayment plan.
Borrowers can use the PSLF Help Tool to fill out their Employment Certification for Public Service Loan Forgiveness form, which should be submitted periodically during employment. This form can be digitally signed and certified by the employer, then electronically submitted to the PSLF servicer for processing.
In addition to PSLF, there are other student loan forgiveness and repayment assistance programs available for nonprofit employees. For example, employees of qualifying nonprofit schools may be eligible for Teacher Loan Forgiveness. This program provides up to $17,500 in student loan repayment assistance to licensed teachers working full-time at low-income schools for five years. The amount of forgiveness depends on the subject taught, with highly qualified math, science, or special education teachers receiving the maximum amount.
Some companies also offer their employees student loan repayment assistance. For instance, Clayco, a construction engineering company, offers student loan repayment assistance to employees who make at least the minimum payment each month. Similarly, Chegg, an educational services company, offers its employees up to $5,000 annually in student loan repayment assistance, regardless of whether they have graduated with a degree.
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Student loan repayment assistance for full-time employees
Many companies recognize the burden of student loan debt on their employees and have added student loan repayment assistance as a benefit. According to a report by the Employee Benefit Research Institute, about 36% of employers offered student loan repayment assistance in 2024.
Some companies that offer student loan repayment assistance for full-time employees include:
- Nvidia: Offers up to $500/month for eligible full-time employees who graduated within the last three years.
- Aetna: Pays up to $5,000 a year toward a degree for full-time employees and up to $2,500 for job-related courses and certificates.
- Chegg: Offers up to $5,000 annually for employees with at least two years of tenure, from entry-level up to manager positions.
- PWC: The Student Loan Paydown program offers up to $1,200 per year in student loan payment assistance, with a maximum of $10,000.
- Penguin Random House: Offers a student loan repayment assistance program of $100/month, with a maximum benefit of $9,000.
- Ally Financial: Offers $100/month in assistance, with a lifetime maximum of $10,000.
It is important to note that the availability and specifics of student loan repayment assistance programs may vary across companies and are subject to certain conditions and limitations.
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Student loan repayment assistance for part-time employees
Many companies recognize the toll that student loan payments can take on their employees, and some have implemented programs to help pay off student loan debt. According to a report by the Employee Benefit Research Institute, about 36% of employers offered student loan repayment assistance in 2024. Here are some examples of companies that offer student loan repayment assistance for part-time employees:
Nvidia
Nvidia is a technology company that offers a generous student loan repayment program. It provides up to $500 per month for eligible employees, including both full- and part-time workers. To qualify, you must have graduated within the last three years. With this benefit, you can reduce your student loan balance by up to $30,000.
Ally Financial
Ally Financial is a financial services company with a Student Loan Paydown Assistance program. Employees can receive up to $100 per month in student loan repayment assistance, with a lifetime maximum of $10,000. The company also offers a 529 Education Savings Plan, contributing $100 per month to help employees save for their children's college education. Part-time employees working at least 20 hours per week are eligible for these benefits.
Aetna
Aetna is a health care company that offers student loan repayment assistance and tuition reimbursement. For part-time employees working 20 to 39 hours per week, Aetna provides up to $2,500 for courses that are part of a degree program and up to $2,500 for career-related courses.
Chegg
Chegg is an educational services company with an Equity for Education student loan repayment program. This program offers up to $5,000 annually for employees with at least two years of tenure, from entry-level to manager positions. The loan must be in the employee's name to receive the full benefit. Chegg also provides a $1,000 annual cash grant to all employees with student debt, regardless of their position.
In addition to these companies, it's worth noting that the Public Service Loan Forgiveness (PSLF) program offers loan forgiveness for those working in public service or for qualifying nonprofits. After making 120 qualifying payments, borrowers can have their federal student loans forgiven.
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Frequently asked questions
Companies that offer student loan repayment assistance span a wide range of industries, including finance, healthcare, technology, and retail.
The structure of student loan repayment programs varies depending on the company. Some companies offer a monthly contribution towards loan repayment, while others provide a lump sum payment after a certain period of employment. The amount of assistance can also vary, with some companies offering a fixed amount and others matching employee contributions up to a certain limit.
Offering student loan repayment assistance as an employee benefit has become increasingly common in recent years. According to the Society for Human Resource Management, 8% of employers offered student loan repayment assistance in 2020, up from 4% in 2018. In 2024, about 36% of employers offered student loan repayment assistance, according to the Employee Benefit Research Institute.
