7 Companies That Are Helping Employees Pay Off Student Loans and Hiring
As the Biden administration debates broader student loan forgiveness, more than 44 million student borrowers wonder if and when they will see relief.
White House officials are focused on waiving $10,000 for all borrowers who earn less than $150,000 a year, CNBC reports, but the administration has yet to confirm those plans.
Most student loan repayments have been suspended since March 2020 in response to the ongoing Covid-19 pandemic, and although the pause on student loan repayment, interest and collections has been extended several times, it is due to expire on August 31.
Until the administration makes a final decision on broader student debt cancellation, borrowers may be able to alleviate — or erase — their debt with help from another source: their employer.
The CARES Act, which was signed into law in March 2020, allows companies to make up to $5,250 in student loan payments for a worker each year. Additionally, employees do not have to pay income tax and the employer does not owe any payroll taxes on the amount.
The passage of the CARES Act and the continued war for talent has prompted more companies to offer student loan assistance programs, Jill Buban, chief executive and vice president of Make It, told CNBC. EdAssist Solutions, a company that helps employers organize such benefits.
Buban has witnessed a surge in the number of companies adopting and adopting student loan repayment programs. In 2020, the Human Resource Management Company reported that only 8% of employers offered student loan repayment assistance, writing that it was a “rare benefit despite its popularity among younger employees.”
But an October 2021 report of the Employee Benefit Research Institute, which spoke to 250 benefits decision makers, found that almost 50% of companies already offer a student loan assistance program or are planning to introduce one in over the next two years.
Here are seven companies helping employees repay student loans — and all of them are hiring right now:
Earnings: In 2020, Google announcement that it would match up to $2,500 a year in student loan payments for any full-time employee with unpaid debt in the United States — and there’s no total cap on the amount of assistance that an employee can receive during their time at Google, a spokesperson told CNBC Do It.
Open jobs: Software engineer, Interaction designer, UX researcher
Earnings: Fidelity began offering its Student Loan Assistance Benefit in 2016. The benefit is available to employees working a minimum of 20 hours per week beginning on their first day of work.
Employees working 20 to 29 hours per week can receive up to $89 per month from the company for their loans, up to $7,500 in total. Employees working at least 30 hours per week can receive around $179 per month for their loans, up to $15,000 in total. Through the program, nearly 15,000 Fidelity employees have saved $67 million in principal plus $31 in interest payments, a spokesperson confirmed to CNBC Make It.
Open jobs: Early Career Client Service Associate, Investment Solutions Representative, Senior Director of Marketing
Earnings: Chegg has been helping employees repay their loans since 2015 — and since the program began, more than 300 employees have been able to reduce or repay their loans, a spokesperson confirmed. All U.S. employees working at least 30 hours per week, through the vice president level, can enroll in the benefit once they’ve been with the company for at least two years.
Open jobs: Corporate Strategy Manager, Product Analyst, Business Operations Associate
Earnings: The global cosmetics company announced in 2018 that it would offer $100 per month, up to a lifetime maximum of $10,000, in student debt contribution to full-time U.S. employees at the executive level and above. below who have been with the company for over a year. .
Open jobs: Senior Product Manager (Experimentation), Skincare Scientist, Packaging Design Coordinator
Earnings: All full-time employees are eligible for Live Nation’s Student Loan Repayment Assistance Program after six months working there, and can receive $100 each month for their loans for up to 60 months, or $6,000 totally helpful. Since the program launched in 2017, employees have saved more than $4 million, a spokesperson told CNBC Make It.
Open jobs: Director of Event Operations, Marketing Manager, Human Operations Specialist
Earnings: Beginning in 2016, all PwC partners and senior partners became eligible to receive up to $1,200 per year for their student loans for six years or until they were promoted to an executive position.
Open jobs: International tax associate, Senior sustainable development associate, Senior cyber defense associate