Student Loan Reimbursement

National Graduate Trends

 Retention Growth has been documented

 More desirable than health or 401(k) contributions
 Overwhelmed with debt
 Only 4% of US companies offer, number expected to
grow
 Employer contribution typically has a limit
Graduate Trends

69% aren’t saving for retirement

92% would rather match loan repayment similar to 401(k)

86% would commit for 5 years for repayment assistance

93% would take advantage of sign-on bonus targeting

student loans
What are other Companies Doing?

Company Benefit Offered

Freedom 2 Save Program
Abbott Employee: 2% year income to loan
Company: 5% income to 401(k)
 Monthly payments based on $2,000 a year
employee comfort Aetna
$10,000 total
$2,000 a year
Fidelity
$10,000 total
$6,000 a year
Nvidia
$30,000 total
Proven Success

• Collaborated with employees

• Program caps
• 5 years $10,000
• Slow and Simple
• Accountability
• 3rd party vendors, allow focus to shift
• 95% retention rates documented
example

National Average*
Loan: $38,000
Interest: 6.00%
Term: 10 years
Cognex Contribution: $50/month
Closing Thoughts

Potential to
Retention Top Talent Desirable Diverse
Pros be first in
Increase Attraction Organization Approaches
field

No Tax Assessing Potential

Cons High Cost
Benefits Eligibility Pushback