Western South Dakota News

U.S. Sens. John Thune (R-S.D.) and Mark Warner (D-Va.) have introduced the Employer Participation in Repayment Act, a bipartisan bill aimed at addressing student loan debt. The legislation seeks to make permanent a provision previously enacted by Thune that allows employers to contribute up to $5,250 tax-free towards their employees' student loans.

"Incentivizing employers to help repay their employees’ student loans was a common-sense step Congress took to address the high levels of student debt that borrowers face," said Thune. "The Thune-Warner bill would permanently equip employers with this unique tool to help attract and retain talented employees while protecting American taxpayers from costly burdens. This is a win-win for graduates and their employers, and I hope it will once again garner strong, bipartisan support."

Warner echoed these sentiments, highlighting the economic impact of student debt on young Americans. "Too many young Americans are struggling under the weight of student debt, preventing them from establishing savings, buying homes, and building wealth," he stated. "My Employer Participation in Repayment Act took an important step to help folks pay down their debt while also giving employers a powerful tool to recruit and retain the best talent, but it’s set to expire soon. I’m proud to be pushing to make this benefit permanent so we can grow our economy and support the middle class by supporting recent graduates and employers alike."

In the U.S. House of Representatives, companion legislation has been introduced by Reps. Scott Peters (D-Calif.) and Nicole Malliotakis (R-N.Y.).