Key points
- Student Loan Repayment Assistance (SLRA) programs are employee benefit programs that can help pay off your student loan debt.
- Employers can contribute up to $5,250 per employee per year toward tax-deductible student loan repayment.
- It is estimated that up to 14% of employers offer SLRA programs to their employees.
If you have student debt, you may not realize that your employer may help you pay it off. Many companies now offer Student Loan Repayment Assistance (SLRA) As part of their benefits package, understanding how they work can make a big difference in your debt repayment strategy.
A growing trend in the past few years has been for employers to offer student loan repayment assistance to employees as a benefit. Unlike tuition reimbursement (which has been around for years), student loan repayment assistance is a relatively new concept, but one that is gaining traction.
According to Society for Human Resource Managementabout 14% of companies offered some type of assistance program to help employees pay off student debt (up from 4% in 2019). But one thing is certain: this number is increasing.
Given the fact that nearly 43 million people have student loans, that The workforce in the United States For nearly 144 million people, that means nearly 1 in 3 workers has student loans. For employers, helping their employees get rid of student loan debt makes sense. That’s why some also offer 401k student loan matching.
But let’s dive into student loan repayment assistance programs specifically.
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What is student loan assistance?
Student loan repayment assistance is an employer benefit and is exactly what it sounds like: Your employer will pay off (part of) your student loan debt.
Each plan is structured a little differently, but there are some key themes:
- Amounts range from $500 to $10,000 (possibly more), and some employers offer these amounts annually
- Sometimes payments are made directly to the lender (so it’s not the same as a signing bonus and you may not get the cash yourself, but you can)
There are also more creative programs, such as making additional 401(k) contributions for those paying off student loans or allowing employees to cash out PTO days and send the money to student loan issuers.
It’s important to note that up to $5,250 of student loan repayment assistance is tax deductible. This is what makes this feature so attractive!
These companies offer student loan repayment assistance
We will continue to endeavor to update this list of companies. It’s difficult because it’s not always easy to find someone who offers payment assistance programs.
If you know of a plugin, please share it with us in the comments so we can include it in this list.
Here are the companies that offer student loan repayment assistance, and the amount they disclose:
Company Name | amount | Notes |
|---|---|---|
Adidas | $1,200 per year | Paid at $100/month |
Aetna | $2000 per year | Matching contribution of $2,000 per year, up to $10,000 (half for part-time employees) |
Ally Finance | $1,200 per year | You pay $100 per month up to $10,000 |
American Family Insurance | $1,200 per year | Payment is made at $100 per month, up to $10,000 |
Andersen Global | $1,200 per year | Payment is made in the amount of $100 per month for 5 years, then a lump sum of $6,000 after 5 years. You must work 20 hours a week or more. |
Carhartt | $600/year | It pays $50 per month, and the lifetime maximum is $6,000 |
Carvana | $1,000/year | cell |
Cheg | $1000/year | There is no limit to years |
Chow Now | $500/year | It acts as a matching contribution |
Connelly Partners | $1,200 per year | Paid $100 per month, with a maximum of $5,000 for 5 years and a bonus of $1,000 in year 6 |
Content verification software | $1,200 per year | $100 is paid directly to the loan servicer. You must work 30 hours a week. |
Estee Lauder | $1,200 per year | Payment is made at $100 per month, up to $10,000. You must work for one year to be eligible |
Sincerity | $2000 per year | $2000 per year for up to 5 years |
First Republic Bank | $2,400 per year | Starts at $100 per month for the first year of employment, $150 per month for the second year, and $200 for the third year onwards. There is no cover. |
Freddie Mac | $1800 per year | $9,000 lifetime maximum |
Goddard School | $1,200 per year | 20% of your student loan payment, up to $100 per month. There is no cover. |
$2500 | It is paid as a match to employee payments, and no cap is reported | |
Gradivi | $3000 per year | You pay $250 per month up to $10,000 |
Honeywell | $1800 per year | You pay $150 per month, up to $10,000 |
Holo | $1,200 per year | It pays $100 per month, and a maximum of $6,000 for life |
Cronos | $500/year | |
Lindo | $2,400 per year | Payment is made at $200 per month, with no maximum |
Long live the nation | $1,200 per year | Lifetime maximum of $6,000 |
Lockheed Martin | $1800 per year | It pays $150 per month, with a maximum of $9,000 for life |
Martin Health Systems | $2000 per year | |
Natixis Global Asset Management | $1000/year | Pays $83.33 per month, up to $10,000 |
New York Life | $2,040 per year | You pay $170 per month, for up to 5 years |
Nvidia | $4,200 per year | Paid at $350 per month, up to $30,000 |
Billiton | $1,200 per year | It pays like $100 a month |
Penguin Random House | $1,200 per year | It pays $100 per month, and a maximum of $9,000 for life |
Power tex | $1,200 per year | You pay $100 per month for up to 6 years |
PricewaterhouseCoopers (PwC) | $1,200 per year | Payment is made at $100 per month, up to $10,000 |
Basic food items | $1,200 per year | Paid at $100/month, up to $3,600 |
Sufi | $2,400 per year | Paid at $200/month |
Terminx | $600/year | It pays $50 per month, and there is no lifetime cap. You must earn less than $150,000 per year |
Tuition.io | $1,200 per year | Paid at $100/month |
United States Government | $10,000 per year | Up to $10,000 per year up to a maximum of $60,000. Each department (DOJ, State, VA, SEC, DOD) maintains specific individual requirements |
western union | $600/year | Paid $50 per month |
Some companies partner with lenders to offer special discounted interest rates on refinancing. We didn’t include it as part of this because student loan refinancing isn’t available to everyone.
Student loan assistance for tuition and fees
Before student loan assistance, there were (and still are) tuition reimbursement programs. These are programs offered by employers that provide compensation to employees who attend school.
Typically, for these programs, the employee must be employed before starting school, must pay for the program/class out of pocket, and the employer will reimburse all or part of the tuition paid.
These programs are useful for employees who need continuing education to advance, want to return to school, employ many young adults who may be considering attending school for the first time, or employ many non-traditional students.
However, for employees who have taken the “traditional” path of graduating from high school, attending college, and then entering the workforce, tuition reimbursement plans miss the mark. I think a lot of companies don’t realize that they can actually be frustrating for employees because they see that this program exists, but they’re sitting with their loans and they can’t take advantage of it.
We hope that more employers will follow the companies listed below to offer student loan repayment assistance to their employees.
Instructions
Does the SLRA affect eligibility for federal loan forgiveness programs?
Generally no. The SLRA relates to your employer repaying your loan. Federal forgiveness programs (such as Public Service Loan Forgiveness or Income-Based Forgiveness) are separate. However, you’ll need to make sure your payment strategy aligns with your goals (for example, no refinancing eligibility).
What if I change jobs mid-year or before I’m due?
It depends on the employer’s conditions. If the program requires you to stay between 12 and 24 months to get the full benefit, early departure may reduce or eliminate your payment. Always read the policy.
Is the benefit taxable?
no. Up to $5,250 per year is contributed toward student loan repayment through the employer’s educational assistance plan. Tax free For the employee.
Will SLRA replace refinancing or other repayment strategies?
No — the SLRA is an additional benefit. You should still compare interest rates, loan type, repayment plan, and long-term strategy.
conclusion
Employer loan repayment assistance has grown from a niche benefit to an important component of employee benefits.
If an employer offers it, the opportunity is worth acting on – if not, then asking for it is justified. With careful evaluation and strategic use, an SLRA can help you reduce debt, save interest, and achieve financial freedom faster.
Editor: Clint Proctor
Reviewed by: Ashley Barnett
The post Student Loan Repayment Help: Employers Offering SLRA appeared first on The College Investor.
