Quick question: does your employer offer a 401(k) match?
Follow-up: are you contributing to that 401(k), or are you putting every available dollar toward student loan payments instead?
If you answered “loan payments,” you may be leaving thousands of dollars per year on the table. And not because you’re doing anything wrong. Because nobody told you about a law that’s been in effect since January 2024.
The Benefit Most Student Loan Borrowers Are Missing
The SECURE 2.0 Act, signed into law in December 2022, included a provision (Section 110) that most borrowers have never heard of: employers can now treat your student loan payments as if they were 401(k) contributions for the purposes of matching.
In plain terms: if your company offers a 4% 401(k) match and you’re making student loan payments instead of retirement contributions, your employer can match those loan payments with a 4% contribution to your 401(k). You get the retirement match without choosing between your loans and your future.
This isn’t hypothetical. It’s been available since January 2024, and adoption among employers has been accelerating throughout 2025 and 2026 as companies compete for talent in fields where student debt is the norm: medicine, law, engineering, and technology.
How SECURE 2.0 Section 110 Actually Works (Plain English)
Here’s the mechanics:
- You make your regular student loan payments to your loan servicer, just like you always do.
- You certify those payments to your employer’s plan administrator. Most companies that have adopted this benefit provide a simple form or portal where you report your monthly payments.
- Your employer makes a matching contribution to your 401(k) based on those payments, up to the same matching formula they use for regular 401(k) contributions.
You don’t need to contribute to the 401(k) yourself. The loan payments replace the contribution for matching purposes. The match goes into your retirement account and grows tax-deferred, just like any other employer match.
The dollar impact:
Let’s say you earn $120,000 and your employer matches 50% of contributions up to 6% of salary. That’s a potential match of $3,600 per year. If you’re making student loan payments of at least $600/month ($7,200/year, which is more than 6% of your salary), your employer would contribute $3,600 to your 401(k). That’s $3,600 in free money you’re currently forfeiting if your plan hasn’t adopted this provision, or if it has and you don’t know about it.
Over a 10-year loan repayment period, that’s $36,000 in employer contributions, before investment growth. With a 7% average annual return, that $36,000 becomes roughly $52,000 by the time you’re done repaying your loans.
Which Employers Offer This? How to Check Yours
Adoption is growing but not yet universal. As of early 2026, employers most likely to offer this benefit include:
- Large hospital systems and healthcare networks (competing for physicians and nurses with massive student debt)
- Major law firms (particularly for associates in their first 5 years)
- Technology companies (where total compensation packages are a competitive differentiator)
- Fortune 500 companies (where benefits teams have the resources to implement new provisions quickly)
- Federal government and large state employers (though TSP adoption has been slower)
How to check: contact your HR department or benefits administrator and ask specifically: “Has our 401(k) plan adopted the SECURE 2.0 student loan payment matching provision?” If the person you’re talking to doesn’t know what you mean, ask to speak with whoever manages the retirement plan. The plan’s third-party administrator (Fidelity, Vanguard, Empower, etc.) will have the answer.
Employer Loan Match vs. Direct Repayment Assistance ($5,250 Benefit)
The SECURE 2.0 student loan match is different from another employer benefit that’s been available since the CARES Act: direct student loan repayment assistance.
| Feature | SECURE 2.0 Loan Match | Direct Repayment Assistance |
|---|---|---|
| What you get | Employer 401(k) match based on loan payments | Employer pays directly toward your loans |
| Annual limit | Same as 401(k) match formula | $5,250 tax-free per year |
| Tax treatment | Pre-tax 401(k) contribution (grows tax-deferred) | Tax-free to employee (through 2025; check for extensions) |
| Can you get both? | Yes, if your employer offers both | |
If your employer offers both programs, the combined benefit can be substantial. The $5,250 in direct assistance reduces your loan balance, while the 401(k) match builds your retirement savings. For a borrower with $150,000 in loans, both benefits working together could be worth $8,000 to $10,000 per year in total value.
How to Ask HR: A Template Email You Can Send Today
If you’re not sure whether your employer offers either benefit, here’s a template you can send to HR or your benefits administrator:
Subject: Question About Student Loan Benefits Under SECURE 2.0
Hi [Name],
I wanted to ask whether our company’s retirement plan has adopted the SECURE 2.0 Act provision (Section 110) that allows employers to make matching 401(k) contributions based on employees’ student loan payments. I’m currently making significant monthly student loan payments and would love to understand if this benefit is available.
Additionally, does the company offer any direct student loan repayment assistance (the $5,250 annual tax-free benefit)?
Thank you for your help.
That’s it. One email. Potentially thousands of dollars in annual benefits.
Frequently Asked Questions
What is SECURE 2.0 Section 110?
Section 110 of the SECURE 2.0 Act allows employers to treat employee student loan payments as 401(k) contributions for matching purposes. Employees repaying loans can receive employer retirement matches without contributing directly to their 401(k).
How does the employer student loan 401(k) match work?
You make your regular student loan payments and certify them to your employer’s plan administrator. Your employer then makes a matching 401(k) contribution based on those payments, using the same formula they apply to regular retirement contributions.
Which employers offer student loan 401(k) matching?
Adoption is growing but not universal. Large hospital systems, major law firms, technology companies, and Fortune 500 employers are most likely to offer this. Contact your HR department and ask whether your 401(k) plan has adopted the SECURE 2.0 provision.
Can you get both loan matching and direct repayment assistance?
Yes, if your employer offers both. The SECURE 2.0 match contributes to your 401(k), while the $5,250 direct repayment assistance reduces your loan balance. Combined, both benefits can be worth $8,000 to $10,000 per year.
Is the employer student loan match available to all employees?
Only if your employer’s retirement plan has adopted the provision. SECURE 2.0 made it optional, not mandatory. The benefit has been available since January 2024, and more companies adopt it each year.
The Bottom Line
Most student loan advice focuses on repayment strategies, interest rates, and refinancing. Those matter. But if you’re employed at a company with a 401(k) plan and you’re making student loan payments, the SECURE 2.0 match might be the single highest-return financial move available to you right now, and it costs you nothing.
Check with HR. Send that email. Don’t leave free money sitting on the table while you’re grinding through a six-figure loan balance.
While you’re exploring employer benefits, see if refinancing could lower your monthly payment too: Top Refinance Strategies for 2026
Compare refinancing rates from 17+ lenders. Free, 3 minutes, no credit impact. →
This article was researched and written by the Admire editorial team, drawing on federal student loan data, OBBBA legislation, and current lending market analysis. Admire.org is a borrower-first student loan marketplace. We are not a lender. Learn how Admire works.
