There’s a common misconception that voluntary benefits are expensive and difficult to manage. Many employers wonder why they would add strain to their budget and human resources beyond health insurance and paid time off.
IonTuition recognizes that many businesses have trepidation about implementing a new benefit. There are a number of reasons to offer a financial wellness benefit such as student loan assistance. Student loan assistance can make a significant difference in the culture and community of your company — as well as improve the lives of individual employees.
Reason #1: You’ll be helping to solve the student debt crisis.
The current state of student loan debt in the United States is abysmal. With the current figure growing to nearly $1.5 trillion dollars, our student loan debt is currently more than $600 billion higher than credit card debt. There are 173 million credit card holders compared to only 44 million student debt carriers, speaking to the astronomical rates of tuition and the financial impact on 70 percent of college graduates.
By setting an example as a company helping employees repay their student loan debt, others may follow your lead. If the same number of employees offer student loan assistance as retirement plans, than student debt may become less of a stressor for millions of Americans.
Reason #2: You may stimulate the economy.
Millennials make up the largest sector of the workforce and have a significant impact on the economy. They’re also the most educated generation; 61 percent of Millennials have attended college. By offering student loan assistance and directly helping the country’s largest demographic, Millennials will have more disposable income to make major purchases such as buying a home or car. This benefits your employees and the nation.
Reason #3: You’ll be at a hiring advantage
Student loan assistance is an in-demand benefit that may help attract more desirable candidates to your company. In a recent survey, 8 out of 10 respondents stated they would like to work for a company offering student loan assistance. Only about 13 percent of respondents in that same survey work for a company offering student loan assistance, which would give you an edge over your competitors.
Reason #4: You’ll keep more employees
Successful companies not only have candidates coming to them, they work hard to keep the employees they have. Turnover can cripple a company’s productivity and bottom line. When your employees’ concerns are considered, such as their financial wellbeing, they’re more likely to continue working for you. Happy workers are more productive, and productive workers make employers happy.
If you have incredible benefits, like student loan assistance, the cost to provide the benefit is justified by the return from retaining more of your employees.
Reason #5: Your company culture will thrive
When employees are happy, the company culture creates more positive work environment, improving collaboration and communication.
Student loan assistance relieves stress by improving the financial wellbeing of your employees. Less stress means less distractions at work, allowing employees to relax and be more productive.
Need more reasons?
Providing student loan assistance shouldn’t be an “if,” but a “when.” IonTuition provides a number of tools — IonMatch, IonLearn, IonPerks, IonManage, and IonPay, understanding benefits (and providing incredible perks) just got easier.
Sign on with our team today, and set the standard for how employees should be treated, both in and outside of the workplace.