Student Loan Financial Planning Process
Student Loan Assistance
FSA / HSA
Through the use of technology and expert student loan advisors, your employees with student loans can easily determine the best personal options for forgiveness, refinance or consolidation. This will have the effect of lowering the student loan payment and or paying off the loan more quickly or even leading to complete loan forgiveness.
Because it’s a) objective, setting the needs and desires of the borrower first – Fiducius is not a bank merely seeking student loan refinance, b) personal – technology plus human advisors build a no risk/no cost plan that is specific to the needs of the individual, and c) available – human advisors available six days per week with supporting technology available 7×24.
This is an outsourced service to take contributory payments from the employer and apply to key employee student loans. The benefit includes consulting to make payments tax free to the participant, adjudication to insure tendered loans are truly student loans, payroll deduction for coupling with additional payments, and student loan screening and optimization through Student Loan Relief.
Because a) the participant’s student loan payment will be optimized prior to receiving a contributory payment, making the employer’s contribution more valuable, b) the system provides payroll deduction, allowing the participant to use the employer contribution as an additional payment or AS the actual payment, c) unlike competitors who can’t manage PSLF, the system is built to manage the details of PSLF so contributions work seamlessly in the loan forgiveness environment.
What is the benefit?
The Limited Waiver Option (LWO) was introduced into PSLF on Oct. 6, 2021. LWO allows for certain previous payments to be added to your loan payment record; Assure is a product built specifically to help the borrower identify these previous payments and get them qualified to count toward the 120 payment requirement for Public Service Loan Forgiveness. In a matter of a few minutes, Assure will read your National Student Loan Data Summary and recommend a course of action to ‘assure’ you receive all the payments you previously made.
Why is it better?
Because it’s a) easy – in a matter of a couple minutes you can understand what is in your record that can be pulled into your PSLF history b) guaranteed – if Assure indicates payments are available and none are received, your license fee will be returned to you, guaranteeing your result, and c) available – ready when you are, the technology available 7×24.
This is an outsourced service to manage the day-to-day details of providing tuition assistance or reimbursement to your employees. It includes enrollment, easily available document housing, EFT or check processing for reimbursement, budget modeling for the finance function, year end accounting and student loan optimization when there are participants borrowing for school tuition and costs.
Because a) as an enrolled benefit, finance can manage the actual spend prior to reimbursement being required, b) participants who are borrowing are set on a financial wellness path prior to graduation by following Student Loan Financial Planning as part of their education journey, and c) plan design and consulting is wrapped into a simple to absorb roll out package with the ability to launch at the beginning of the year or mid-cycle, whichever makes best sense for the employer.
This benefit marries traditional tuition reimbursement benefit with the contribution benefit. Statutory requirements around a Section 127 plan have unique requirements for how much benefit can be offered in a year and how tax free rules are implemented. One enrollment system manages the benefit for all eligible participants.
Because a) this insures all dollars will be tax free to the participant while the employer stays within the compliance for Section 127 plans, b) unites the accounting for each benefit type, c) allows the employer to provide targeted benefit offerings and amounts without violating any discrimination rules inside Section 127, and d) provides the entire benefit within one enrollment/administration system.
Financial wellness for many employees begins with solving student loan pain. But there are other needs to be solved for to create true financial wellness. Fiducius brings the whole solution to life with the addition of Integrated Benefits.
All of your employees have retail banking needs. Did you know with Fiducius buying power, coupled with your organization, you can bring Banking as a Benefit to life with your employees? Fiducius has a range of banking partners that bring expert service and specially created products to your employees. Your employees? They have both simple and complex needs but they can be brought together in a simple digital manner, allowing them:
While you, the employer:
Fiducius is proud to partner with Best Money Moves, a mobile-first service designed to help people measure financial stress and then dial it down in order to get control of their financial lives.