As educational debt continues to mushroom, younger workers often have to choose between paying off their student loans and saving for retirement. Companies are starting to offer student loan payment benefits, in part to attract and keep workers in a strong economy, the New York Times reported. Abbott, the pharmaceutical and medical products company, today announced a new benefit to help its employees pay off their student debt while still building their retirement nest eggs. About 4 percent of employers offer some sort of student loan repayment benefit, up from 3 percent in 2015, according to the latest survey from the Society for Human Resource Management. Companies that help employers provide workplace benefits, like Fidelity Investments, are adding student loan assistance programs to their menus. Typically, employers make a lump-sum, after-tax payment, monthly or annually, toward an employee’s student loans.
