What is the minimum monthly payment an employer can pay toward a student loan?

There is a minimum $25 monthly contribution required for each employee.

How long does it take to setup my customized employer Student Loan Repayment Benefit plan?

It takes less than 5 minutes to set up an account.

What information do I need to set up my employer Student Loan Repayment Benefit plan?

You will need three things:Your company information [Entity name, Federal Tax Identification Number],Your Bank information [bank name, account type, account number, routing number]The amount of monthly benefit to be paid to employee student loans.

When could we start making payments on an employer Student Loan Repayment Benefits plan?

The 1st of each month. Employees will only receive the benefit if they complete set-up.

Do I need to withhold ordinary income taxes for the payments made to Employee account?

The Federal Government, through the CARES Act, allows employers to contribute up to $5,250 tax-free to student loans each year, meaning the money paid is considered tax-exempt for both the employee and the employer.

When are the funds to be electronically transferred to Paidly? When will the loans be paid?

Funds are transferred to Paidly on the first of each month, or the first business day. Loans will be paid and electronically acknowledged on or before 15th of each month.

New Fundraise Your Way to Freedom from Student Debt. Learn how.

Employer

Employer Student loan Repayment Benefit

Create a competitive advantage and set up a Paidly Student Loan Benefit plan in minutes. Attract and retain top talent by enhancing your employee benefits portfolio with student loan repayment, adding 529 College Savings plans, or offering PTO buybacks.

Why Offer Student Loan Repayment Benefits?

Improve Employee Financial Wellness

$1 contribution translates to $1.51 to the employee (tax and interest savings)

Payback period and interest paid can be substantially reduced

Reduce Costs and Loss

Productivity loss of unfilled positions -- 42 days to hire new positions

Recruiting and training/onboarding costs -- up to 50-75% of base salary

Enhance Recruitment and Loyalty

Student loans negatively impact employee quality of life. Student loan debt can create major stress and force the postponement of major milestones in life.

$1.7T

The amount of student loan debt families in America are carrying and struggling to pay back

86%

of employees would commit to their employer for 5 years if they received help paying off student loans

44%

of young workers stress about how they are going to pay back all their student loans

Employer ROI Student Loan Repayment Calculator

Estimate your return on investment (ROI) when offering a supplemental student loan repayment benefit to your employees.

Use our ROI Calculator

Make an Impact on Employees

With Paidly, delivering student loan benefits can assist with offsetting productivity loss by increasing financial wellness and reducing new employee training/onboarding costs through retention, recruitment and employee loyalty. Paidly is your tool for delivering employer student loan repayment benefits to your employees.

Company Estimated* Cost Savings

Current employees

100

Recruitment cost (avg)

$6,000

Annual employee turnover rate

32%

Vacant position lost productivity (avg weeks)

Participating employees

20%

New employee onboarding ramp (avg weeks)

Participant retention rate

24%

Average Compensation

$88,000

Comp. escalation of new employees

15%

Student Loans Benefits Program Cost

Annual Employer Student Loan Payments $2,400

Annual cost savings

Benefit to employee

$3,624

Turnover cost reduction

$176,234

Return on Investment (ROI)

254.31%

*The information and materials contained on this Website are for information purposes only. Use of the Website is at your sole risk. We use reasonable efforts to include reliable information and materials, but Paidly makes NO WARRANTIES OR REPRESENTATIONS AS TO THE ACCURACY, COMPLETENESS AND TIMELINESS OF SUCH INFORMATION AND MATERIALS AND EXPRESSLY DISCLAIMS ANY LIABILITY FOR ANY ERRORS OR OMISSION CONTAINED IN THE Website.

On-demand Payments

While employers recognize the need to help employees with loan debt, many can't justify additional benefit expenses—especially during an economic downturn. Take advantage of Paidly's on-demand payment.

A one-time, secure, and direct student loan payment. On-demand payments are a great way for employers to convert bonuses and more into a one-time student loan repayment benefit. Giving an opportunity for employees to self-direct these payments to what matters most.

Learn more about on-demand Payments

Sign-up Bonus Payment

Referral Bonus Payment

Quarterly bonus

Annual Bonus Payment

Paid Time off (PTO) Conversion

How it works... It's easy

Paidly will verify your company based on your information

Invite eligible employees to register for this financial wellness benefit using the Paidly onboarding application

You provide a list of employees to invite
Paidly will collect and confirm their loan information
Each employee will be provided their own dashboard to track their student loan financial wellness

Setup your supplemental Student Loan Benefit plan payments to be applied toward employee loan principal

You setup your benefit plan amount and recurring schedule
Paidly will collect and distribute the payment to employee accounts and their various loan providers

Do you have questions?

Our support team ready to help you at [email protected] or Toll Free: (888) 384-6010