America has a student loan problem to the tune of $1.5 trillion. That number is shocking on its own, but even more troubling when you drill down and realize most college graduates today owe an average of $30,000 according to Student Loan Hero. Today, about 8% of companies are offering some version of student loan repayment as a benefit, similar to 401k matching, as a way to entice younger hires and keep employees happier. So what do these benefits actually look like? Every company does it a little differently, but the rewards for employees are undeniable across the board.
Aetna
For those looking for jobs in healthcare, Aetna offers highly competitive benefits. Their student-loan repayment program is for both full- and part-time employees, and offers to match up to $2,000 annually for team members. This was based on the company’s holistic view of health, which includes financial health. But for more traditional wellness lovers, there’s also a healthy lifestyle incentive program that offers cash bonuses for a positive lifestyle.
Chegg
Following two years of employment at Chegg, workers are eligible for up to $5,000 annually to pay off student loans. This benefit is on top of the $1,000 annually that all Chegg employees are able to access. “If they borrowed money and they are creating value for us, we want to help them,” said CEO Dan Rosenweig in an interview. The company hopes its program will improve diversity, too, since student loan debt disproportionately impacts people of color.
Credit Suisse
This bank takes a slightly different approach to student loan repayment. Instead of offering a monthly stipend or matching amount, Credit Suisse refinances employee loans at a reduced interest rate through SoFi. This benefit costs the bank nothing, but can save employees thousands of dollars over the course of several years when interest rates, and monthly payments, drop significantly.
Already known for generous perks, Google recently also established a student loans program for all its employees. While this is a great perk for everyone at the company, this program also aims to encourage more Black students to apply and work at Google. Google recognizes that on average, “Black college graduates have $25,000 more in student debt than white graduates four years after completing a bachelor's degree.“ Google’s student loan payback program will help level the playing field and assist employees in gaining economic stability and financial freedom, all while inspiring the next generation to study hard.
Hulu
Hulu is for more than just binge-watching your favorite shows. The entertainment company offers up to $1,200 annually per employee for student loan repayment, a benefit they added when they realized it was as critical for some of their employees as parental benefits were for others. “This can help Hulu differentiate and be a leader to attract and retain the best quality candidates we can get,” Taunya Post, Hulu’s director of human resources operations, said in an interview.
Live Nation
At Live Nation, offering a loan-reimbursement program is the key to attracting (and retaining) good Millennial and Gen Z talent. The entertainment company offers up to $100 monthly, or $1,200 annually, to employees once they’ve been on staff six months. Since launching the program in 2017, Live Nation claims it has helped employees save over $4 million. In an interview with USA Today, Chief Human Resource Officer Nadia Rawlinson said this helps “employees realize their life goals, not just professional goals.”
New York Life Insurance
New York Life understands that the average student graduates with $35,000 dollars or more in debt. To show their employees that they care about the financial success and understand the difficult situation they are in, they offer assistance of up to $10,200 over five years to help pay back student loans. By doing this, they make sure their employees pay back their debt faster, allowing them to be able to make other important financial purchases like a house or car. This is just one of the ways that NYLI shows their employees they care – check out other perks of working at NYLI here!
NVIDIA
NVIDIA offers one of the most robust benefits on this list, giving employees $500 monthly (or $6,000 annually) to pay off student loans. That over $100 more per month than the average loan borrower pays, meaning NVIDIA employees likely have their entire monthly loan payment covered by the company. With a cap of $30,000 over five years, this could have a significant impact on employee financial well-being and cover their debt in entirety.
Peloton
This well-known exercise equipment company offers $100 a month to employees to help pay off loans. "This benefit makes such a difference both physically and emotionally, especially with the support that comes with Peloton acknowledging that this is a burden," said one employee to Business Insider. About 17% of Peloton’s workforce uses the benefit.
PURE Insurance
PURE Insurance, a fast-growing insurance carrier that specializes in the high net-worth market, is a purpose-driven company that puts its people, from members to employees, first. This is evident in the types of perks and benefits that they offer. From ‘Passion Courses’ where employees receive an annual stipend to explore their interests and gain new skills of any kind, (as long as it’s taken at an accredited institution or they come out of it with a certification) to offering programs that promote physical and mental wellness, PURE is committed to helping its employees thrive personally and professionally. PURE considers its financial resources an integral part of helping employees thrive, which reflected in their generous financial benefits. Not only does PURE offer classes to educate employees on how to manage their finances, but also offers student debt repayment assistance, a standout benefit in a time when roughly 70% of students take out loans to attend college.
Staples
Full-time employees of Staples are also eligible for $100 monthly towards student loans for up to three years. While this loan repayment is smaller than other organizations on this list, it’s important to note that Staples is one of the first national chain businesses to make such an offering. “Staples is pioneering this effort within the retail industry to help with the recruitment and retention of the key talent,” said the EVP of global human resources, Regis Mulot.
Unum
Unum also takes a unique angle to tackle student loan debt, allowing employees to transfer unused paid time off to cash to pay student loans—up to five days, or about $1,200, annually. While that might sound like a loss for employees who would have to give up holidays or vacation days, Unum offers all employees 28 days of PTO which is around double the national average. That means employees can take advantage of this trade-off and still have plenty of time off, too.
U.S. Government
Employees of the federal government are able to receive up to $10,000 annually to pay off student loans. However, this money usually comes with a stipulation that you work for the government for at least three years—leaving early could result in needing to repay that amount. That said, if you’re willing to sign a deal with Uncle Sam, this is likely the most money you can get from any job to pay down your loans.
Student loan debt is a major problem that’s not going away anytime soon, but businesses are finally starting to realize it’s a burden on the workforce, as it determines which jobs people can take, which cities they can afford to live in, and so on. By offering some form of loan repayment, employers can meet workers where they’re at and help them succeed.