These companies want to help Americans pay off their student debt

Shirin Ali
·2 min read

Story at a glance

  • Student loan debt is the second-highest consumer debt category after mortgages, with the U.S. holding $1.7 trillion in outstanding loan debt.

  • At least 30 companies offer a student loan repayment benefit to attract and retain top talent.

  • As of 2019, about 8 percent of companies offered some form of a student debt repayment benefit.

More than 43 million Americans hold federal student loan debt, and now some companies are stepping up to help ease the burden of repayment.

Student loan debt is the second-highest consumer debt category after mortgages, totaling $1.7 trillion. It’s become a huge burden for millions of Americans, with borrowers taking about 20 years to pay off their student loans.

At least 30 companies have recognized that struggle and offer financial assistance to employees to repay their student loans.

FlexJobs, a career advancement service, identified 30 remote-friendly companies that offer student loan repayment assistance, ranging from Google to Peloton.

Abbott, Aetna, PricewaterhouseCoopers (PwC), Live Nation, SoFi-Social Finance and others offer eligible employees financial help in paying back student loans.

America is changing faster than ever! Add Changing America to your Facebook or Twitter feed to stay on top of the news.

Assistance comes in a variety of forms, with some companies giving monthly payments to those currently repaying their debt while others provide yearly contributions that can be applied to student loans. FlexJobs says payments can range anywhere from $50 to thousands of dollars but usually have a maximum lifetime benefit that also depends on if an employee is full-time or part-time.

Google announced it was launching a student loan repayment program for employees beginning in 2021. The company said it will match up to $2,500 per year so employees could put their earnings toward purchasing a new home, starting a family or investing in retirement savings.

At PwC, employees can access the student loan paydown benefit that gives up to $1,200 a year toward student loan payments. Borrowers must enroll in direct payments, allowing PwC to send payments on their behalf. The company will pay $100 a month for up to six years or until an employee is promoted.

According to FlexJobs, only about 8 percent of companies offered some form of a student loan repayment benefit in 2019.

Since 2020, most student loan borrowers have not had to make any payments towards their loans due to a COVID-19 moratorium on payments and interest. Millions of borrowers are hoping President Biden will hold steadfast to his campaign promise of canceling at least $10,000 of federal student loan debt per borrower, a decision that could be announced soon.

Since taking office, the Biden administration has canceled $32 billion in student loan debt for more than 1.6 million borrowers, mostly for students who were defrauded or misled by their schools or through the Public Service Loan Forgiveness (PLSF) program.

For the latest news, weather, sports, and streaming video, head to The Hill.