Smart organizations are considering Student Loan Assistance programs because they’re aware of the increasing student loan debt burden their employees face and they know it’s highly attractive for hiring and retaining talent with the right offering. If your company is considering this benefit, it’s important to know how traditional employer-sponsored Student Loan Assistance programs stack up against 529 Savings Plans.
Peanut Butter was listed by Built In Chicago as one of five local edtech companies having a positive impact on the lives of students and recent graduates.
At Peanut Butter, we're always looking at new ways for employers to make student loan repayment a fiscally advantageous benefit to offer employees. We also go to great lengths with our attorneys to understand IRS and tax laws, so employers don't find themselves in a tricky situation.
Our clients and prospects often ask if student loans in a parent's name are still eligible to participate in Student Loan Repayment plans. This can be a common occurrence today, where parents are trying to help shoulder the burden of their kids' debt from student loans. As an employer offering Student Loan Repayment, though, there may be tax implications if you consider covering loans for borrowers other than your employee. Here's what you need to know: