Getting a college degree is often seen as a stepping stone to a higher-paying job. However, the reality for many students is that they have to take out loans to pay for their education, which can eat into their future earnings. This is why job perks like employer student loan repayment assistance are becoming increasingly popular. More employers are starting to offer this benefit, recognizing its value to employees who are burdened with student loan debt.
If you’re job hunting and dealing with student loan debt, it’s worth looking for companies that offer help with paying off your student loans. While it’s becoming more common, it’s still relatively rare, with only 1 in 10 employers offering it as of 2022. So, finding a job that offers this benefit can be a bit of a challenge.
Companies like Abbott Laboratories, Aetna/CVS Health, AlloSource, Ally Financial, Andersen Global, Carvana, Carhartt, Chegg, Estee Lauder, Fidelity Investments, First Republic, Google, Honeywell, LendEDU, Live Nation, New York Life, Nvidia, Peloton, Penguin Random House, PricewaterhouseCoopers (PwC), SoFi, Terminix, and the U.S. Government are some of the employers that offer student loan repayment assistance.
These companies offer various types of assistance, from 401(k) matches to payment matches, cash payments, and vested payments. Thanks to a tax break introduced in the CARES Act, you don’t have to pay taxes on up to $5,250 in annual employer student loan repayment assistance until the end of 2025.
However, most employer repayment assistance programs are designed to help you pay off your loans faster, not to replace your minimum payment. So, you’ll likely still need to continue making your own payments.
While more companies are starting to offer this benefit, it’s still not widespread. If you’re job hunting, consider all the perks and benefits a company offers, not just student loan assistance. And if you’re currently employed and your company doesn’t offer this benefit, consider talking to your HR manager about it. After all, student loan repayment assistance can be a great way to attract and retain employees.
