What Is 401(k) Student Loan Matching?

With 401(k) student loan matching, strapped student loan borrowers can pay down debt and boost their retirement accounts.

A pencil erasing the words student loans.
(Image credit: Getty Images)

More than 50% of Americans feel that the cost of higher education is out of hand, according to the most recent statistics from Bankrate. And it’s hardly surprising. As of mid-December, more than 43 million Americans have federal student loan debt, equaling a collective balance that exceeds $1.7 trillion. 

After a three-year reprieve, federal student loan payments resumed on October 1, 2023. Some borrowers are choosing to defer their student loan payments while they work out a way to repay their loans and fit the payments into their budgets. Others are exploring 401(k) student loan matching. 

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Kathryn Pomroy

For the past 18+ years, Kathryn has highlighted the humanity in personal finance by shaping stories that identify the opportunities and obstacles in managing a person's finances. All the same, she’ll jump on other equally important topics if needed. Kathryn graduated with a degree in Journalism and lives in Duluth, Minnesota. She joined Kiplinger in 2023 as a contributor.