The Pew Research Center informs us that millennials (ages 22 to 37) make up the largest share of today’s workforce. Millennials offer a lot of value to a company because they tend to be highly educated, comfortable with technology, and willing to learn new things. However, the average millennial worker remains with a job for only three years or so. With that in mind, it’s important for your company culture to appeal to your millennial hires so they’ll decide to stick around for the long haul. The question for companies then is: How can we make our company attractive to millennial employees? And how can we keep them? Here are some insights into what millennials are looking for in the workplace.
Above All, Millennials Want Opportunity
Millennials regard jobs as opportunities to learn and grow, and they have a strong desire for career development. A Gallup survey found that an impressive 87% of millennials rated career growth and opportunities for professional development as the essential aspect of a job. This contrasts with 69% of non-millennials who say the same thing. So, if you want to retain millennials, you need to take their desire for career progression seriously. Here are some ways to accomplish this.
- Keep your employees updated on education and promotion opportunities. Institute a tier system based on knowledge with the ability to advance by getting new certifications.
- Provide weekly training sessions to build teamwork and advance knowledge on a topic. Incentivize your team for a job well-done by providing rewards such as a surprise gourmet lunch at the office.
- Notice and appreciate your staff when they’ve done an excellent job. Don’t wait until the six-month or yearly review to provide feedback. Create a process that allows for the consideration and implementation of your employees’ ideas and complaints, e.g., via monthly one-on-one meetings.
- Talk to your employees face to face. Millennials want to communicate about their work and possible career advancement in person. When they question management decisions, they are not being disrespectful but rather seeking information. Engage with them in a conversational style rather than shutting them down or issuing an order.
- Provide the necessary structure for a work project - meeting times, deadlines, etc. - but then let your millennials work things out without micromanaging. They want to be provided with work that they can “own” and run with.
- Make sure they know the “why” of what you want them to do. Millennials need to understand why their work matters in the larger scheme of things.
- Instead of losing your talented millennial employees to another company, allow them to switch roles within your company. It provides them with the opportunity to get new experiences and learn new skills. Plus, you’ll be building a pool of potential future managers who understand the inner workings of several aspects of your company.
Millennials Want a Company that Invests in its Employees
Depending on the job, this could mean providing the latest and greatest technological tools available in the industry. For others, it could mean offering a stipend or an allotted expense for travel to conferences or other events to further education. Often times this includes shares or stock options in the company. In other words, provide more than just a salary.
Millennials Like Perks
Although perks may not be the main reason why millennials might choose to work for a company, they do like perks. Young married millennials are much more likely to stay with your company if, for example, you provide flexible work schedules or an on-site child care facility. Other attractive perks might be:
- Free training or learning allowances
- Mid-career internships
- Flexible vacations
- An allotment of days for remote work
- Summer Fridays
- Free gym memberships
- Bring your dog to work
The Hiring Process
Millennials appreciate transparency during the hiring process and throughout their employment. A job candidate wants to see if they are a good fit for the position and what their future with the company is likely to be. Once a millennial is hired, transparency should continue through regular assessments or check-ins with their supervisor. Nothing should be shrouded in mystery or corporate-speak that obscures or confuses.
Retain Your Millennial Team Members Longer
Millennials tend to leave jobs when they feel they aren’t appreciated or that their employers are not willing to be flexible. The cost of having your millennial talent leave is high. Your company has poured time and resources into training and development, so retention is an issue for your bottom line. Millennials don’t just want a job; they want to be highly engaged in what they are doing. Smart companies should find ways to harness this sense of mission or risk losing their brightest millennial talent to more purpose-driven companies. For an excellent overview of how to treat your millennial employees, read the free Epic Guide To Managing Millennials In The Workplace by Rob Wormley.
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Education Loan Finance by SouthEast Bank is not responsible for and has no control over the subject matter, content, information, or graphics of the websites that have links here. The portal and news features are being provided by an outside source – The bank is not responsible for the content. Please contact us with any concerns or comments.
Can I Change my Loan Terms?Before graduating, you probably didn’t give much thought to student loan repayment terms. That being said, student loan terms that fit your needs and goals before starting school aren’t always ideal for you following graduation. For this reason, it is possible to change your loan terms after you graduate, and if you’re approved for a new loan, the new loan servicer pays the old loan servicer for the cost of the loan. The student loan debt is then transferred to the new loan servicer. With the new loan typically comes new and better student loan terms.
Why Should I Refinance my Student Loan?Simply put, student loan refinancing works when you can take out a new loan in order to pay off the first loan with better terms. Here are four reasons why you might want to refinance your student loan:
Your Credit Score Has Improved Since CollegeStudent loans provided by the federal government don’t take credit scores into account - every borrower is given the same interest rate regardless of credit history. If you have taken out a private loan, your interest rate could have been impacted by your or your cosigner’s credit score. After a few years in the workforce, your credit score usually improves. An ideal time to refinance your student loans is when your credit score exceeds 650. This should enable you to refinance your loan at a lower interest rate. Most student loan refinance companies will require a minimum credit score for refinancing approval, so be sure to seek that information out before applying.
A Longer Credit History Could Improve Your Interest RateInterest rates for private student loans are usually affected by your or your cosigner’s demonstrated credit history, and most student loan refinance companies will provide a minimum credit score to apply for refinancing. A refinancing company will also usually provide favorable terms to a borrower who has illustrated a financially responsible credit history – for example, by paying bills on time. An individual who has multiple defaults on their credit history is likely to receive less favorable terms or be turned down for refinancing.
Overall Interest Rates May Be LowerInterest rates for student loans are tied to certain economic indicators at the time you applied for the loan. So, you may have a student loan with an above-average interest rate because you went to college when interest rates were high. When interest rates decrease because of changing economic conditions, you will almost certainly be able to refinance and get a better deal on your new loan.
ConsolidationRefinancing gives you the option of consolidating several loans with different interest rates into a single loan with a more favorable interest rate. One loan with one interest rate is much easier to manage.
Fixed and Variable Interest RatesWhen you apply to refinance your student loan, you can choose between a fixed or a variable interest rate. A fixed rate doesn’t change unless you are refinancing again. A variable rate will fluctuate over time based on certain economic indicators. Variable rates coincide with low-interest rates across the economy, and they can sometimes fall to below 3%. If you find yourself with a high income and interest rates are declining, then it may be possible to get a great refinancing deal. This works by choosing a variable interest rate and paying off your loan entirely before interest rates start rising again, or by taking advantage of a low fixed interest rate and sticking with it.
Avoiding the Risks of Refinancing Student LoansRefinancing your student loan can be a great choice, but there are some risks you want to watch out for:
- High-interest rates. If interest rates are high, you might end up paying more over time than if you had stayed with your original loan.
- Too many fees. Make sure that refinancing fees don’t outweigh the savings from your lower interest rate. Look for student loan refinancing that comes with no fees.
- Unrealistic repayment schedules. Federal student loans provide you with access to repayment plans based on a low yearly income. Make sure that you can meet the monthly payments on your refinanced loan.
When Should I Refinance my Student Loan?The primary reason to refinance your student loan is to shift into a much more favorable loan. That loan could have a lower interest rate and save you money. Additionally, if you qualify, you’ll have the flexibility to adjust the repayment terms. This means that you could pay the loan off with a shorter term or extend the term so it costs you less every month or is easier to manage.
Use ELFI to Refinance Your Student LoansYou may be pleasantly surprised at how easy it can be to repay your loan faster and more effectively. Doing so can help you avoid the stress of too much student loan debt and enjoy a more prosperous financial life. It can be hard to tell when the best time to refinance your student loan is, so click here for a handy student loan refinancing calculator to determine how much you might save. For a no-obligation consultation, call ELFI at 1.844.601.ELFI.
- The Official SAT Study Guide - The College Board. Pages: 1,145; Price: $19.01-$19.36The Official SAT Study Guide is a publication of The College Board, the organization that creates and administers the SAT. It includes eight practice tests that are similar to the exam. Each of these tests is available as a free, downloadable PDF on The College Board’s website. In addition to the tests, the book has an additional 250 pages of instruction, guidance, and test information. This volume should form the basis of your self-guided SAT studying program.
- SAT Prep Black Book: The Most Effective SAT Strategies Ever Published - Mike Barrett and Patrick Barrett. Pages: 575; Price: $24.50-$28.49SAT Prep Black Book deserves a place on your bookshelf right next to The Official SAT Study Guide. The book is authored by an SAT tutor who has guided many students in preparation for the test. Readers will learn how to use the ins and outs of the SAT to their advantage. It includes a walkthrough of more than 600 official SAT questions. The publication is written in a conversational style and is full of understandable advice for doing well on the SAT.
- The Complete Guide to SAT Reading - Erica Meltzer. Pages: 349; Price: $29.19-$33.20The Complete Guide to SAT Reading is a comprehensive review of the reading skills required to achieve high scores on the reading section of the SAT. The author is an experienced SAT tutor who provides breakdowns of SAT Reading types of questions. She gives in-depth explanations and numerous examples of how to effectively work through every kind of problem. This book offers helpful guidance for your SAT prep, no matter your level of reading skills.
- SAT Vocabulary: A New Approach - Erica Meltzer and Larry Krieger. Pages: 133; Price: $17.99-$18.95SAT Vocabulary covers critical vocabulary for the reading, writing and language, and essay sections of the SAT. Rather than just providing long lists of words and their meanings to memorize, the book teaches you to understand the various contexts in which vocabulary is tested. You can then test yourself by applying what you have learned with practice exercises.
- The College Panda's SAT Essay: The Battle-tested Guide for the New 2016 Essay - Nielson Phu. Pages: 64; Price: $18.99-$21.52Nielson Phu is a teacher who achieved a perfect SAT score when he took the new SAT in 2016. A copy of his high-scoring essay is included in The College Panda's SAT Essay. And, amazingly, Phu states that he's not a naturally gifted writer. In this book, you’ll find Phu’s tips, strategies, and resources to enable you to score well on the SAT essay, even if you don't think you’re a “good” writer. This short book is worth reading cover-to-cover.
- The College Panda's SAT Writing: Advanced Guide and Workbook for the New SAT - Nielson Phu. Pages: 270; Price: $10.29-$28.49Nielson Phu loves to write books to help students achieve a perfect SAT score. Don't be intimidated, though - The College Panda's SAT Writing provides comprehensive coverage of what you need to know to do well in the SAT writing and language section. It gives clear explanations of every grammar rule tested on the SAT, from the most basic to the most obscure. It also includes hundreds of examples, drills, and practice questions. To make the study of grammar less boring, Phu has even added in some fun illustrations.
- The College Panda's SAT Math: Advanced Guide and Workbook for the New SAT - Nielson Phu. Pages: 254; Price: $22-$28.49The College Panda's SAT Math is a comprehensive guide to the SAT Math section. This publication is aimed at the student reaching for a perfect score, and, in pursuit of this goal, it leaves no stone unturned. The book has clear explanations of the math concepts tested on the SAT, ranging from the simplest to the most complex. It also provides hundreds of examples, over 500 practice questions, and lists of the most common mistakes students make. Even if you don’t think you can achieve that perfect score, this book is an excellent way to brush up on your math skills.
- Bring Home the Score: A Private Tutor's Guide to Scoring in the Highest Echelons of the SAT, ACT, SHSAT, GRE, GMAT, LSAT, NCLEX, MCAT, or Any Other Standardized Test - Walter Tinsley. Pages: 86; Price: $9.96-$9.97Don't be put off by the lengthy subtitle of Bring Home the Score even if you have to look up what “echelon” means. This volume is jam-packed with tips, tricks, and strategies to land you among the top scorers on any standardized test - including the SAT. You will learn mental strategies to improve your motivation and avoid burnout from an overly aggressive study regimen. Bring Home the Score can help you create a schedule that’s intense but manageable.
- Solve. Create: The Insider's Guide to the ACT and SAT - Scott Moser. Pages: 523; Price: $19.68-$29.95People don’t usually think that standardized tests and creativity go together. The author of this book, a private test prep tutor, bases his strategy of success in the SAT on individualization and process rather than focusing on rote memorization. Reason. Solve. Create. aims to help the reader become a better thinker. For example, the same reasoning skills that are used in writing a poem can also be applied to solving a math problem or correcting a mistake in grammar. Information pertaining only to the SAT is clearly marked.
- The Perfect Score Project: One Mother's Journey to Uncover the Secrets of the SAT - Debbie Stier. Pages: 288; Price: $6.45-$16.45The Perfect Score Project is not a traditional SAT prep book but provides an interesting and insightful read for both students and parents. Debbie Stier, a single mother and an author, wanted to help her son prepare for the SAT. To this end, she took the test seven times in one year. She also studied every way possible to prep for the test. The result is a book with tried-and-tested answers to every SAT question a student might be asking themselves: When do I begin? Do I really need test prep with a big name? Do I need a tutor, a class, or can I self-study? What's the one thing I need to know? Stier's son did well on the SAT, and so can you.
All of these books can be purchased online, and the prices are for new and used books as advertised at the time (June 1, 2019) of this writing. The number of pages is approximate and is based on the table of contents for each book.What You Need to Know About College Scholarships NOTICE: Third Party Web Sites Education Loan Finance by SouthEast Bank is not responsible for and has no control over the subject matter, content, information, or graphics of the web sites that have links here. The portal and news features are being provided by an outside source – The bank is not responsible for the content. Please contact us with any concerns or comments.
Direct Costs of Replacing EmployeesA talented employee exiting your company costs you money. Estimates of how much employee turnover costs can vary by industry and employee salary. A study by Employee Benefit News estimates the direct cost to hire and train a replacement employee equal or exceed 33% of a worker’s annual salary ($15,000 for a worker earning a median salary of $45,000). Cost estimates are based on calculatable expenses like these:
- HR exit interview & paperwork
- Benefit payouts owed to the employee
- Job advertising, new candidate screening & interviewing
- Employee onboarding costs
- On-the-job training & supervision
Full Impact of Employee LossJosh Bersin, a human resource researcher, writing for LinkedIn, refers to employees as a business’s “appreciating assets.” Good employees grow in value as they learn systems, understand products and integrate into their teams. When one of these valuable employees leaves, the business loses more than just the cost of hiring and training a replacement. Bersin cites these additional factors contributing to the total cost of losing a productive employee:
- Lost investment: A company typically spends 10 to 20% of an employee’s salary for training over two to three years.
- Lost productivity: A new employee takes one to two years to reach the level of an exiting employee. Supervision by other team members also distracts those supervisors from their work—and lowers the team’s collective productivity.
- Lost engagement: Other team members take note of employee turnover, ask “why?” and may disengage.
- Less responsive, less effective customer service: New employees are less adept at solving customer problems satisfactorily.
Strategies to Slow Employee Turnover RatesAn effective exit interview helps you and your HR team pinpoint the drivers of your company’s employee turnover. You may find that hiring practices need to be refined or employee engagement should be enhanced. Changes to the break room space, such as fresh fruit or games, will allow your employees to relax and come back to work with fresh eyes and a better attitude. This will keep up the workplace morale, shaping your company culture to include perks appealing to younger workers and will lead to increased job satisfaction. Today’s employees are career-oriented and highly motivated. Keep them on your team with other opportunities such as:
- Pathway for advancement within the company
- Professional development & advanced education
- Flex-time & work-from-anywhere options
- Management support & recognition
- Lifestyle rewards or amenities like catering & concierge services
- Culture of shared values & volunteerism
Add Student Loan Benefits Through ELFIStudent loan repayment tops the financial-worries checklist of many recent graduates. Older team members question their ability to pay for educating their children. New, highly desirable HR benefits like student loan contributions and financial literacy education are emerging from these employee concerns—and ELFI for Business is leading the way for employers to incorporate them into hiring packages. You can connect with ELFI directly from your HR portal and access multiple ways to contribute to employees’ student loan debt. We offer new-hire onboarding booklets, educational newsletters and onsite consultations filled with information for you and your employees. Reach out to us at 1.844.601.ELFI to add cutting-edge benefits to your HR employee package!
Make Your Workplace a Positive EnvironmentIf your business has been getting by with lackluster performance and frequent turnover, you’ll need a critical eye to evaluate the current culture. Try to hire for longevity and look for the best possible fit for each unique position. Employers of choice search for employees who can make a positive impact on not only their work but their team, too. With capable and involved staff, from new-hires to top management, you can build a workplace recognized for its atmosphere of trust, personal growth, and positive performance. There’s no room for micromanagement in this kind of workplace environment. Entrust your employees with a mission, direction, and goals—then step aside. Allow them to make decisions and respect their choices. In a positive environment, differences of opinion become opportunities for learning and growth.
Provide Relevant Compensation & BenefitsCompetitive compensation has always been a hook to catch the attention of potential employees. Even if your business cannot support top-tier pay and benefits, you can shape your compensation package to deliver the value your employees want. Offer the best salary you can afford and supplement it with bonuses and perks that reward company performance. Recognize that today’s employees place a high value on their time—and offer flexible scheduling and remote work options. Consider turning the standard break room into a comfortable lounge where workers can relax, play games or socialize. Go beyond the traditional benefits by adding college loan contributions, paid time off for family emergencies and parental leave to your benefits package.
Encourage Professional GrowthEngaged employees have a keen interest in professional growth and career development. Employers of choice encourage this interest by supporting their team with relevant training and additional growth opportunities, including:
- Professional development seminars
- On-the-job continuing education
- Exposure to new tasks through job rotation
- Tuition reimbursement for certifications & advanced degrees
- Pathways for advancement
Establish TransparencyPeople like to know where they stand in a relationship, job, or career. Professionals who feel uncertain about their place in the organization, workplace expectations, or their own performance may seek other opportunities with another company. Transparent communication and clearly defined expectations give your team the perspective they need to stop worrying and start investing in the job. Employers of choice also develop channels for mentoring, giving helpful feedback and praise, and rewarding performance and risk-taking. They provide opportunities for teams to voice their ideas and concerns. Feeling safe and appreciated, employees buy-in to the company culture and become engaged.
Create a Collaborative CultureIf your company is to become an employer of choice, you must develop a respectful and collaborative community. Engaged employees appreciate corporate responsibility, and they have expectations of your business that go beyond products, services, and profits. Workers want to feel their companies are good local and global citizens. Employers who embrace charitable outreach are rewarded with employees who are more confident, purposeful, and willing to work as a team. You can boost staff morale and develop a meaningful and relevant work community by sponsoring activities that include:
- Food & clothing drives
- National fundraisers
- Community clean-up initiatives
- Health & wellness fairs
- Recycling events
- Health awareness campaigns
Become an Employer of Choice With ELFI for BusinessToday, a college degree is more accessible than ever—and more expensive. An employer contribution to student loan repayment is one of the best ways to attract loyal employees. ELFI has created a cutting-edge benefits program that is easy to access through your HR portal and includes multiple incentives for attracting and keeping top talent. Take the first step to becoming an employer of choice.
Know Your Personal ValueFirst, begin by assessing your personal background and preferences. Be sure that you take a look at the education level, job title searching for, total experience in the field, skills, and location. Within your self-worth search, it is important to factor in the salary your lifestyle needs. Consider the lowest salary you can live on and go from there. Remember to also include benefits you may need such as health insurance or a student loan assistance program. All of this will help when you begin to research job comparisons and opportunities.
Research, Research, and ResearcEducateAfter taking a look at your personal values and needs, take your search to the Internet. There are several websites that can calculate salary, so finding one that fits what you are looking for is important. Here are a few helpful websites and what they offer. Educate to Career - https://www.jobsearchintelligence.com/etc/jobseekers_free_salary_calculator/ The information needed to use the tool includes your job title, the field of interest, experience, and location you provide and uses education levels to predict your salary. This is a more student-focused tool and uses career centers around the United States to generate salaries for the career you are searching for. This is a good starter tool that will ease you into the salary search and is a good place to begin. Glassdoor® - https://www.glassdoor.com/Salaries/know-your-worth.htm Most people know Glassdoor® as a site that posts jobs and helps connect companies to potential employees, but they offer additional tools too. The Know your Worth Salary calculator is available through Glassdoor®. This calculator uses marketing trends to give you an idea of what you should be earning. The requested information is your job title, education, skills, and location preferences, and then it will estimate your possible income. This particular calculator is unique because it will indicate what your salary could be in another region or with an additional degree. Glassdoor® will also show job opportunities available in your preferred field and location. It’s important to note that this tool does not include benefits in the estimated salary. Payscale® - https://www.payscale.com/my/survey/choose The salary calculator tool by Payscale will compare employees in the same industry you are searching for to your current total pay (If you are already in the field of interest). If not already in the field, there is an exploring option. The needed information for this tool is your job title, education, skills, experience, and location. The Payscale® tool includes bonuses, overtime pay, and benefits. In addition, it gives in-depth results and can help you find what you could be making in another company or field. LinkedIn® Salary - https://www.linkedin.com/salary/ LinkedIn® is a social media channel for professionals looking to network. It connects professionals to possible employers. Linkedin Salary takes this a step further in using the networking application to estimate potential compensation. They give information on the highest paying businesses, regions, and job titles. A bonus is that LinkedIn® Salary includes a current view for the career industry you provided and how salaries in these industries may be impacted in the future. Using a wide variety of sources can help compare the salaries in your field. By taking advantage of these tools, you can get the most accurate estimate for what you should be offered by an employer.
Moving ForwardOnce completing your salary research, look at all of your options. Compare salaries from different industries and understand what would best fit your lifestyle. Find a career that has the right location, job security, and can support you. Remember that if the salary is not what your research indicated, there is always room for negotiation.
Top 4 Reasons Employees Leave a CompanyThe current employee shortage has upended traditional hiring models. Companies are racing to reshape their corporate cultures and embrace the values of a more limited workforce. Although improved pay and benefits packages continue to be important, these four workplace problems are the leading reasons why employees pick up—and move on.
- Not enough work-life balance. Team members value their time and don’t want employers to waste it. Their enthusiasm and performance will wane if they are weighed down with busy work and meaningless meetings. Younger employees appreciate flexible schedules, the ability to work from home, and a workload that is challenging without spilling over into personal time.
- Poor management. Supervisors who are unable to engage their employees or unwilling to help them grow by providing positive feedback are commonly cited as reasons to leave. Today’s professionals respond to personal interaction and appreciate public shout-outs and ancillary rewards like gift cards, tickets, and free meal vouchers.
- Lack of recognition & career advancement. Employees who excel like to be recognized for their extra effort. They also need to see a clear pathway for furthering their careers. Today’s staff members expect companies to help them grow professionally while providing access to career development and mentorship programs.
- No company engagement. When a company does not have (or cannot properly communicate) its goals and values, employees lack a shared sense of purpose. Businesses fostering a sense of community are better able to inspire, engage, and retain employees.
Create a Satisfying Workplace to Keep Valuable Team MembersIn many ways, today’s workforce is looking for the same type of job satisfaction as high performers of past generations. Respect, appreciation for a job well-done, opportunities for advancement, challenging work, and monetary rewards still lead to employee satisfaction and engagement. According to Gallup research, 34% of employees are engaged at work, but 53% are not engaged and likely to leave a job for another offer. To involve these employees and access their potential, employers are putting greater emphasis on corporate culture assets like these:
- Relevant workplaces with a clear mission & shared values
- New-hires who contribute to the corporate community
- Greater creative freedom & autonomy for staff when possible
- Updated technology to support performance
- Employee input as valuable business partners
Student Loan Benefits Appeal to Workers of All AgesMany young employees begin their careers with a heavy burden of student loan debt. They worry about the monthly toll payments will take on their starting salary. Will they have enough money to travel, buy a home, or start a family? Worries about student debt repayment are not limited to the youngest workers. Some data suggest that these concerns cut across age groups and include professionals over age 55. Older workers may have taken on student loan debt to fund advanced degrees or send a child to college. Widespread student loan debt suggests that companies offering repayment contributions and other related benefits have a distinct advantage in attracting and engaging their workforce.
Improve Retention With Cutting Edge HR Benefits From ELFIAs an ELFI business partner, you can add value to your benefits package with monthly contributions to student loan debt. You’ll also plug into resources like newsletters, webinars and onsite consultations. Connect with ELFI from your HR portal and discover how significant student loan benefits are to your team members—and how cost-effective they are for your company.
Polish Your Company BrandToday’s job seekers are looking for more than just a good compensation package. They want to be part of a team that emphasizes shared values and a unified purpose. A company and its workforce should have a recognizable brand with clearly communicated values. By clarifying your core values and creating a cohesive mission statement, you define your business philosophy and give new recruits a glimpse into your workplace culture. Make a deeper impression on potential new team members by going a step further: Let high-potential employees experience your company culture firsthand. Consider including activities like these in your recruitment process:
- Tour of facilities & on-site amenities
- Lunch with staff at the corporate lunchroom
- Face-to-face meetings with company or division heads
- Informal conversations with valued team members
- Off-site mastermind gatherings with new and existing employees
Create a Meaningful Compensation PackageA competitive salary is essential to new team members, but other types of compensation may seal the deal. Companies seeking to differentiate themselves from competitors offer compensation packages that are meaningful to their employees. In addition to healthcare benefits, paid time off and 401K fund matches, employees are looking for perks and benefits that enhance their lifestyle. A recent Robert Half survey cited these desirable additions to a company’s compensation package:
- Paid parental leave
- Opportunities for professional development
- Profit-sharing plans
- Student loan reimbursement
- Dental & vision insurance
- On-site amenities like childcare, gym & concierge services
- Compressed workweek
- Flexible work schedule
- Paid time off for volunteering
Sell High Potential Employees on Your CompanyOnce you have identified a talented candidate for hire, make the sale. New recruits who understand how they fit into your company’s culture and structure are more likely to invest themselves and stay. Boost talent retention by defining a path forward within the company. New hires want to know they will have opportunities for professional development, continuing education and the possibility of internal promotion. Show them where they could be short term, such as a year or two in the future. Seeing the growth within arm’s reach will give them the drive to perform the best they can. They are also highly focused on achieving work-life balance. If your business model permits it, offer greater work flexibility with schedules that allow work-from-anywhere options and unstructured time on the job.
Add Student Loan Repayment BenefitsCorporate help with student loan repayment is a big plus for high potential employees and a key business differentiator. ELFI for Business has the expertise to help your HR department put together an attractive hiring package with sought-after benefits like these:
- Financial education
- Employer contribution match
- On-site consultations
- Budget-friendly refinancing options
Student Loans Have AdvantagesVarying types of debt are governed by different laws and regulations. Banks often base interest rates for consumer credit loans on your established credit rating. Interest rates for auto loans or credit card debt tend to be higher than a mortgage or student loan interest. As you review your debt load and make a plan, remember: student loan debt comes with a few "advantages" that other types of debt don’t offer.
- Preferential tax treatment: With a new job, you will be paying taxes on your income. Student loan interest is deductible up to $2,500 and can be deducted from pre-tax income.
- Lower interest rates & perks: Federal student loans have lower interest rates and are sometimes subsidized by the government.
- Lender incentives: Private student loans may come with incentives from the lender that make them a better deal than other credit types. These include fee waivers, lower interest rates, and deferment options.
- Flexible payment plans: Options for lower payments and longer terms are available for both federal and private student debt.
- Build your credit score: You can build your credit score with student loan debt. Now, depending on whether you’re making on-time payments or not, you could negatively or positively affect your credit. If you chose to make small payments during deferments, or a grace period, and regular on-time payments you will be more likely to establish a favorable credit record and reduce the amount of interest you pay overall.
Programs to Help You With Student Loan PaymentsThere are few options for loan forgiveness with regular debt, but student loans offer opportunities to reduce or eliminate your debt. These may come with commitments and tax implications, so be sure you fully understand them if you decide to take advantage of these programs.
- Loan forgiveness: Federal student loans may be forgiven, but you'll want to be sure that you're following all of the requirements needed of the program. Be sure before choosing this option that the federal loans you have qualify for the program. Also, keep in mind there could be taxes due on the amount that is forgiven. Some student loan forgiveness programs include PAYE (Pay as You Earn) and REPAYE (Revised Pay as You Earn), Public Service Loan Forgiveness, and Teacher Loan Forgiveness.
- Loan Consolidation: Multiple student loans can be consolidated into one payment with the interest rate determined by a weighted average of your current loans - interest rates. Combining multiple loans may be easier to manage on a modest starting salary. Consolidating federal loans usually doesn’t require a good credit score, either.
- Refinance, and you could achieve a lower interest rate: Lenders like Education Loan Finance specialize in student loan refinancing, and have options like variable interest rates and flexible terms. Refinancing your debt could make student loan debt easier to manage than other types of credit.