As a great business owner and employer you will want to help your employees make the most of their well earnt salary. As you have potentially hired many employees with degrees it is highly likely that they will be repaying their student loan each month directly from their pay packet.
Introduce loan forgiveness
Many employees have never heard of loan forgiveness before. You may want to take the time to introduce this idea to them and encourage them to apply if they are eligible. The bonuses of doing so is that not only will they have increased income (due to the loan being wiped) but they will also appreciate you as an employer investing time and effort into their well being.
If your sector is one of those that has a dedicated loan forgiveness scheme it is well worth taking the time to brush up on the latest rules and regulations regarding applications. If you are unable to dedicate the time and resources to such a project you could always out source to an external company who specialise in the field. For example, you could invite experts like those at Loanforgiveness.org to come in to talk to your employees and give them an insight into how the scheme could work for them. If you wanted to really go the extra mile for your staff you could even allow them one or two hours of their working day to dedicate to completing an application.
Eligible sectors for loan forgiveness
Not all sectors are eligible for loan forgiveness. The main sectors which are able to apply for the scheme are Police and Firefighters, Nurses and other Health Care professionals, Civil Servants and Teachers.
Pros of loan forgiveness
The potential positive outcome of loan forgiveness for your employees are extremely high. It could result in them having some or all of their student debt wiped. This would be potentially life changing. However, by supporting and encouraging your staff to research and apply for this opportunity you receive additional benefits. Your staff will feel encouraged and supported by the company and will increase morale within your team.
Cons of loan forgiveness
As a responsible employer it is worth noting that there are a few drawbacks with loan forgiveness and you would be wise to ensure your staff are aware of this before they apply for the specific schemes. Firstly, it should go without saying that you must assess if your company and sector are even eligible for loan forgiveness. Then you should familiarise yourself with the specific criteria relevant to your sector. This may include things such as how long you must have worked in the field and how many student loan repayments you must have already made. It is also important to note that many of these schemes are extremely competitive and that the chances of being successful may be low. However, this is no reason not to apply in the first place.