Although each facet of today’s multigenerational workforce has different expectations when it comes to employee benefits, they all have common ground when it comes to student loan support. Student loan debt affects employees of all ages. 43.6 million Americans share a $1.77 trillion burden, which means one in four workers are impacted by student loans (Source: adpresearch.com). In addition to younger employees navigating the early stages of their careers, parents who co-signed loans for their children and mid-career professionals pursuing additional degrees are also feeling the student loan squeeze. Gen X student loan borrowers carry an average balance 17.0% higher than the nationwide average, and Baby Boomers born between 1946 and 1964 have an average student loan debt of $41,877 (Source: educationdata.org).
The Emotional and Practical Impact
The impact of student debt reaches beyond finances. Stress related to student loan debt affects borrowers' lives and well-being. Student loan borrowers are also delaying major life milestones such as buying a home or starting a family (Source: CNBC).
While this situation is bleak, it offers a unique opportunity for employers to offer assistance while boosting employee loyalty. In fact, a remarkable 88% of employees say they would increase their commitment to their employer if they offered student loan repayment assistance. By including student loan repayment assistance in their benefits package, employers demonstrate a commitment to equitable support that reflects the needs of their employees. This tangible support reflects a company’s investment in its workforce, improves productivity, and helps attract and retain top talent in a competitive job market.
A Practical and Equitable Solution
Just as employers offer equity focused benefits such as daycare, eldercare, and even pet insurance, student loan repayment assistance supports employees managing the significant financial burden of student debt. Student loan repayment assistance is more than a benefit — it’s a statement of an employer’s commitment to equity, innovation, and employee success. Its implementation is simpler than many employers realize, and the returns in employee satisfaction and retention are well worth the effort.
The Case for Personalized Benefits
Adding student loan repayment assistance to a benefits package doesn’t mean replacing other valuable offerings, such as childcare assistance. In fact, student loan repayment assistance complements traditional benefits under the SECURE Act 2.0, which allows employees to receive retirement contributions tied to their student loan payments.
Addressing Employer Hurdles
One of the primary concerns employers face when it comes to implementing student loan support is the perceived complexity of implementing a student loan repayment assistance program. However, solutions are easier to put into practice than you might think. Attigo by Ascendium can help you simplify implementation, ensuring compliance and reducing administrative burdens.
Incorporating student loan repayment assistance into your benefits package is a strategic move to stay competitive and support your workforce. By embracing student loan repayment assistance, employers can build a benefits package that truly reflects the needs of a diverse, modern workforce — and foster a culture of care and opportunity for all.
Learn how Attigo’s student loan repayment assistance can help you get started.
