Some businesses now offering cash to pay off employees’ student loan debt

(WCMH) — It’s estimated some 40 million Americans have student loan debt. Now, some of them will be getting help paying them off if they’re willing to make a long term commitment with their employer.

Natixis Global Asset Management is just one of a handfull of companies who are now offering to pay off a portion of their employees’ student loan debt.

“We decided it was time we put our money where our mouth is, and make sure our own people are on sound financial footing,” said Tracey Flaherty, the company’s senior vice president of retirement strategies, told CNN Money.

The new hires are promised $10,000 to go towards federal student loans, but they won’t get the money right away. They company offers a $5,000 lump sum payment after the employee puts in five years at the company. They’ll then get an additional $1,000 a year for the next five years, so long as they stay employeed at Natixis.

PwC is another company offering a similiar loan payoff plan. It’s offering new hires $7,200 over the course of six years to go towards student loan debt.

Both companies believe they are on the front end of a new trend, and they expect to see many more businesses offering to help pay off student loans in return for loyal employees.

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