warning: the following mentions suicide and suicidal thoughts
A study by the Clinical Psychology Review revealed that people who commit suicide are eight times more likely to be in debt. Similar studies have found links between consumer and personal debt with mental health disorders.
Each year, PwC releases an Employee Financial Wellness Survey, and each year debt is found to be a leading cause of stress in employees’ lives. Stress caused by debt can lead to anxiety and poorer mental health, according to science. Financial wellness has a direct correlation to personal wellness. Offering a student loan benefit can alleviate much of this pressure that employees feel, and lead to a workforce that is happier, more stable, and more loyal to their employer.
Student Loans are the Leading Form of Household Debt After Mortgages
In a Student Loan Planner survey, 1 in 9 student loan borrowers with loan balances between $80,000 and $150,000 have considered suicide. A person’s profession correlates to debt levels and suicidal thoughts. Dentists and veterinarians are the top two professions to have considered suicide. Not surprisingly, medical professionals are likely to carry a high student loan balance.
Since student loan debt is difficult to discharge in bankruptcy, suicide might present itself as the only option to remove the debt to a person in crisis. A 2019 study by Bankrate found that student loan debt is the most significant reason people delay marriage, starting a family, and saving for retirement.
Chronic Financial Stress Can Be Relieved
Carrying a large debt can lead to mental fatigue brought on by stress. Worrying about paying bills, providing for their family, and saving for the future can keep people from sleeping and distract them at work.
There’s a growing awareness that it’s becoming more difficult to make ends meet for millions of employees, as debt and cost of living expenses dramatically outpace average earnings. Companies are responding by offering benefits such as flexible work schedules and financial wellness benefits.
Colleges are Investing More in Mental Health Services
A report by the American Council on Education found that over 80 percent of top university executives consider mental health more of a priority on campus than it was three years ago. Institutions are expanding access to counselors through teletherapy services such as META, which alleviate student concerns surrounding counseling such as stigma and scheduling.
There’s no substitute for speaking to an expert
IonTuition is the only financial wellness benefit with an in-house concierge advisory service. Our team of student loan counselors are experts on repayment optimization and have an unmatched track record for helping borrowers relieve their financial stress brought on by their student loan debt.
Contact IonTuition today to learn how we can help your employees overcome their financial stress.