SoFi Blog

San Francisco, Calif. — September 19, 2016 —

SoFi announced today the creation of SoFi at Work, a benefit program for companies to help their employees reduce their student loan burden and build financial wellness. The program encompasses over 600 participating companies across the United States, with recent additions including Meredith Corporation and Northrop Grumman.

“When it comes to employee benefits, we believe student loan help is the next 401(k),” said Mike Cagney, CEO, Chairman & Co-Founder at SoFi. “This is especially true for the Millennial generation, now the largest percentage of the workforce, who are starting their careers with record-setting student loan debt and deferring important priorities like retirement savings or buying their first home.”

Included in the more than 600 companies and associations who are adopting SoFi at Work are seven of the top 10 tech firms in the Fortune 500, 58 of the Vault Law Top 100 law firms, and eleven of the 2017 Vault Banking 50.

SoFi at Work currently includes two benefits:

• Student Loan Contribution Benefit: Administered by SoFi, companies make regular contributions directly to their employees’ existing federal or private student loans, reducing loan balances and saving interest expense.
• Student Loan Refinancing Benefit: At no cost, companies make SoFi Student Loan Refinancing available to employees to help them save money and pay down their loans faster, with incentives like educational resources and a welcome bonus.  

More information on the program is available at SoFiatWork.com.

SoFi’s nontraditional underwriting approach considers an individual’s financial well-being to determine creditworthiness, with factors such as employment history and free cash flow. SoFi also offers borrowers benefits that can’t be found elsewhere, such as unemployment protection, an entrepreneurship program, career counseling and member events.

“People often face a hard choice between saving for retirement or paying down student debt when the answer is they should and can do both,” said Catesby Perrin, Head of Business Development at SoFi. “Forward-thinking companies like our partners are thinking about the most meaningful ways to address these stresses and their employees’ overall financial wellness.”

In a recent study conducted by SoFi through an independent third party, 70 percent of student debt holders are held back from saving for retirement due to student loans. Legislation has been introduced in both the U.S. House of Representatives (H.R.3861) and Senate (S. 2457) that would treat an employer’s contribution towards its employees’ student loans as a non-taxable benefit, further assisting debt-burdened American workers.

About SoFi

SoFi is a new kind of finance company taking a radical approach to lending and wealth management. From unprecedented products and tools to faster service and open conversations, we’re all about helping our members get ahead and find success. Whether they’re looking to buy a home, save money on student loans, ascend in their careers, or invest in the future, the SoFi community works to empower our members to accomplish the goals they set and achieve financial greatness as a result. For more information, visit SoFi.com.

For press inquiries:
Laurel Toney
[email protected]
720.435.8862

If the United States economy was a movie, student loans would be the super villain– or at the very least, a founding member of the Suicide Squad.

Over the past decade or so, outstanding student loan debt has grown faster than a toxic algae bloom, surpassing a whopping $1.3 trillion. Saddled with increasingly scary levels of debt, young professionals have decreased spending and put off major purchases, such as buying a home, fueling an ongoing drag on the economy. Inability to pay student loan debt can even lead to mental health issues and physical illness, which can have a major impact on employee productivity and business performance.

Purchasing your first home is really exciting—but it can also be daunting, especially when going it alone. SoFi members aren’t easily intimidated, however. In fact, according to the March 2016 Home Buyer and Seller Generational Trends report, people age 35 and younger continue to be the largest group of home buyers at 35%, and 67% of those buyers are purchasing homes for the first time. With 10% down on loans up to $3 million, SoFi makes it easier than ever before for solo buyers and others to own a home.

Last month, we hosted a SoFi member event in Los Angeles with special guest Johanna Maska, who shared details of her impressive career, including serving as Director of Press Advance for the Obama administration and Vice President of Marketing for the Los Angeles Times.

As someone who knows more than just a few things about transitioning big, Ms. Maska was the perfect guest speaker for our members, whose career paths are anything but traditional. Familiar with good and bad twists and turns, and some really wild rides, our members were wholly tuned in as she told her stories.

Millennials are positioned to make a big impact in this year’s presidential election—if they turn out to vote.

• Young voters were a key factor in the election of Barack Obama. Obama won 66 percent of the under-30 vote in 2008 and 60 percent in 2012.
• Young voter turnout increased substantially in the last two elections. About half of eligible voters aged 18-29 voted in the 2008 and 2012 presidential elections, compared to less than 40% of voters that age during the 1990s.
• Young voters have the numbers to make a difference. For the first time, the millennial voting population equals that of baby boomers.

Today’s 20- and 30-somethings are facing unprecedented financial challenges, like unemployment, stagnant wages, and student loan debt. This year’s election is a huge opportunity for young voters to make their voices heard. The presidential candidates are talking (a lot) about finances and the economy, and our next president’s actions will likely have a big impact on everyone’s financial future.

Check out our guide below to the 2016 presidential candidates and their stances on the issues that impact young professionals’ financial health.