It is no surprise, then that student loan debt is a mounting problem that affects employees more and more. One-third of workers say they worry about finances at work , with most citing debt as their main concern, and 78% of workers with student loan debt, including 65% of workers over age 55 with current or future loan debt, want their workplace to offer student loan benefits. Any benefit that reduces student loan debt through a lower monthly payment or a reduction in the term greatly enhances your attractiveness as an employer and is goes a long way toward retaining quality employees. Moreover, 86% of employees said they would stay with a company for at least five years if their employer helped pay down their student loans, so the potential for both retention and recruitment cannot be understated.

Employers are getting creative with incentive packages that include valuable offerings such as income-driven repayment (IDR) plans for paying down student debt, and federal forgiveness programs are available to assist employees, such as Public Sector Loan Forgiveness (PSLF). There are few benefits you can offer that would have such a significant impact on your employees’ lives or as effectively demonstrate your interest in their wellbeing.
The process for federal student loan forgiveness is often a difficult one and maximizing its chances of success goes a long way toward contributing to employees’ overall wellness by reducing anxiety; alleviating financial pressure increases productivity, decreases work-related errors, and promotes better physical health.

FOR-PROFIT EMPLOYERS

There are a variety of options for employers in the for-profit sector to assist their employees with student debt relief. Sponsoring student loan counseling can help employees by reducing employees’ monthly loan payments and terms of the loans. Together, NSDFC and your company devise and execute a program that includes informational webinars, free one-on-one loan counseling, and a comprehensive action plan for employees. Employer-sponsored programs also include strategy meetings focused on student loan relief programs, benefits, and wellbeing initiatives as tools to achieve corporate goals. Fifty-five percent of millennials, as well as ten percent of boomers and Gen X employees—often cosigners of this debt—feel that student loan assistance is an important benefit.

For private loans, we also work with LendKey to help employees refinance their loans with highly competitive rates.

Private Refinancing

• As we are not a lender, we work with LendKey to help employees refinance private student loans
• Highly Competitive Rates
• No Origination Fees
• 2-Minute Rate Check with No Impact on Credit Score
• Unemployment Protection, up to 18 Months