The student loan debt crisis is impossible to ignore. 1 in 3 working Americans has student loan debt.
The stress of paying back loans isn’t just personal — it affects job performance too. These days, graduates want employers to help them with their loans and create plans to pay them off.
By the Numbers
Student loan debt affects close to 50 million Americans. 11% of borrowers are more than 90 days delinquent or in default of their loans.
In 2018, 45% of college graduates finished with student loan debt. On average, they left school with about $30,000 in debt.
That’s twice the average debt ten years ago.
Employers are Trying to Help
Student loan repayment benefits are still new. Currently, only 1 in 25 employers offers a student loan assistance program where they contribute to employees’ student loan balances.
But that’s changing quickly. Many are starting to recognize the benefits of offering help.
Employers are struggling to find top talent because unemployment rates are so low. By offering student loan support, employers can attract younger workers.
And employees are also seeking out companies who care about helping them manage their student loans.
The Impact of Assistance
Big companies like Penguin Random House, Fidelity, and Aetna are already offering student loan help to employees.
Although the program is only three years old, a quarter of employees at Fidelity have signed up. The program offers up to $10,000 in student loan contributions by Fidelity.
Representatives for Penguin Random House say that the benefit is at the top of their list for impact.
Edukate and Gradifi
Edukate currently partners with Gradifi, a student loan paydown and assistance program. Gradifi offers loan refinancing and matching to employers who want to make an impact.
Through Edukate, employees get guidance to help pay down their loans faster. With Gradifi in the mix, we amplify student loan repayment efforts.
As the student loan debt crisis continues to grow, employers are playing a more important role. Keeping student loans in check can help employees feel less stressed and prepared for their future.