In 2024, 43 million Americans hold student debt for 1.7 trillion dollars outstanding. That means the average student loan borrower has close to $40,000 still to pay off on their debt. A daunting number for most, and student debt’s impact is still continuing to grow.
While in the media, student loan forgiveness has continued to be a frequent headline with powerful titles stating the amounts of debt that’s been forgiven. Below are the most recent that have been brought to the American public’s attention.
- Public Service Loan Forgiveness (PSLF): Under the current administration there has been $56.7 billion forgiven for 793,000 borrowers.
- Income Driven Repayment: Under the current administration there has been $45.6 billion forgiven for 930,500 borrowers.
- Disability Discharge: Under the current administration there has been $11.7 billion forgiven for 513,000 borrowers
- Closed school discharges, Borrower defense, and Related court settlements: Under the current administration there has been $22.5 billion forgiven for 1,300,000 borrowers.
In total, the current administration has seen forgiveness of $136.5 billion in student debt over its four year span in office. Accounting for an average of just north of $36 billion per-year. While these numbers may seem large, in 2024 this only amounts to 2% of the $1.7 trillion in student debt the US workforce faces. Making the impact seemingly meaningless and miniscule.
Student Loan Assistance provides a bright opportunity for employers to combat national student debt. With contributions as little as $50 per-month made by employers toward their employees’ loans, companies can help their team members get out of debt in eight years instead of 10, saving more than $7,000 in principal and interest over the life of their loan. Creating an action item for organizations to maximize on for a minimal cost, while driving debt down for employees’ nationwide.
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