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Insights and best practices on Student Loan Assistance

Decoding the OBBB: Permanent Tax-Free Treatment of Employer-Sponsored Student Loan Repayment

The OBBB has brought significant, permanent changes to federal student loans. For employers focused on college-educated talent, the biggest impact is the permanent tax-free status for employer student loan assistance. Employers have long found high ROI offering this...

Opportunity Now: Student Loan Repayment is PERMANENTLY Tax-Free Under the OBBB

For ten years, Peanut Butter has helped employers offer impactful student loan assistance programs, recognizing the financial strain of student debt. As you know from our recent posts, employers consistently report a high ROI on this benefit, even when offered on a...

Legislative Update Confirms What Leading Employers Already Know

Recent legislative updates, including a Senate version of H.R. 1 that mirrors the House bill we recently wrote about, continue to point toward a permanent extension of tax-free employer student loan contributions. This progress is welcome, but it simply reinforces a...

The Future of Student Loan Benefits is Bright: Why Employers Can Plan with Confidence

As an employer, you're always looking for benefits that are not just trendy, but have lasting power to attract and retain top talent. Student Loan Assistance is one of those benefits. But with the provision for tax-free contributions currently set to expire on...

Peanut Butter Insights: How do I know an eligible employee is making their monthly payment?

Many times in discussions with existing and potential clients, a common question that comes up is regarding skin in the game for employees receiving a Student Loan Repayment benefit. Furthermore, how would they know an eligible employee is making their minimum monthly...

The Latest

[Voluntary Advantage] What Your Business Needs to Know About Student Debt in 2025

[Voluntary Advantage] What Your Business Needs to Know About Student Debt in 2025

This article was originally published by Voluntary Advantage in the December 2024 edition of the Voluntary Benefits Voice. To read the full publication, click here; this article appears on page 21-22. Just over a year ago, our CEO Dave Aronson had the opportunity to...

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Should employers process employee payments via payroll?

Should employers process employee payments via payroll?

During discussions with potential clients, one question that comes up from time to time is based on employee student loan payments and payroll. Wondering if they can/should process employee payments through their payroll system. This post helps answer this question...

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Are employees’ spouses or family members able to participate in a Student Loan Repayment program?

Are employees’ spouses or family members able to participate in a Student Loan Repayment program?

When meeting with potential clients and partners, one of the common questions we get on program best practices surrounds spouse and family member participation. To answer this question, no, an employee must be listed as the primary borrower on the student loan in...

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Keeping Retirement Plans and Student Loan Assistance separate create the best outcome for employers and their teams

Keeping Retirement Plans and Student Loan Assistance separate create the best outcome for employers and their teams

It has now been close to a year since the Secure Act 2.0 was approved and options were added for employers to tie their retirement plans to other programs like Student Loan Assistance. In our experience, this hasn’t been taken up as a common approach for employers....

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Is the SAVE Student Loan Repayment plan making a difference for your employees?

Is the SAVE Student Loan Repayment plan making a difference for your employees?

Nationwide, many individuals are utilizing the SAVE plan to lower monthly payments on their student loans and in their minds putting themselves in a better position financially. The SAVE plan is income-driven and payments are altered by each unique person’s earnings....

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Private Letter Ruling Adds Unnecessary Complexity to Student Loan Assistance

Private Letter Ruling Adds Unnecessary Complexity to Student Loan Assistance

In a recent statement from the IRS, an unnamed employer received access through a private letter ruling to defer 401k matching dollars to student loans through a Section 127 plan tax-free. Similar to the private letter ruling Abbott Labs received in 2018 to count...

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Supreme Court rebuffs Biden administration plea to restore multibillion-dollar student debt plan [AP News]

Supreme Court rebuffs Biden administration plea to restore multibillion-dollar student debt plan [AP News]

White House attempts to relieve portions of student debt the US workforce faces have continued to get struck down by the Supreme Court. Alluding to the consistent verdict that no widespread forgiveness is coming for borrowers.  In a recent post from AP News, another...

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Tax-Free Student Loan Repayment, Here to Stay

Tax-Free Student Loan Repayment, Here to Stay

First through the CARES Act in 2020, then the Consolidated Appropriations Act of 2021, and now through an in progress bipartisan bill in 2024. Tax-free Student Loan Assistance is once again making a statement to remain an option for employers looking to stand out in...

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Peanut Butter Insights: Do Employers Typically Cap Their Total Student Loan Contributions?

Peanut Butter Insights: Do Employers Typically Cap Their Total Student Loan Contributions?

In our discussions with potential clients, employers commonly ask about lifetime maximum caps on their student loan contributions for employees. Hoping to draw comparisons to other benefits. In this post, we’ll describe the best practices surrounding this concept. In...

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How long does it take to set-up a Student Loan Assistance Program?

How long does it take to set-up a Student Loan Assistance Program?

When considering Student Loan Assistance as a new benefits offering, employers commonly ask about program setup time. It’s important to understand the legwork required to get things off the ground.  When it comes to Peanut Butter programs, the quickness surrounding...

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