Student loan payments would be entitled to earn “matching” 401k retirement contributions from employers under a bill introduced Thursday by Senate Finance Chairman Ron Wyden.
The proposal would allow Americans to build retirement savings while repaying their student debt even if they cannot afford to make their own contributions to a 401k plan. Employers could offer the benefit voluntarily, and it would only apply to higher-education expenses.
“While I support student debt forgiveness, it’s important to put every option on the table to relieve this burden for millions of Americans,” Wyden said in a statement. His bill has four Senate Democrat cosponsors.
Read more: Biden Education Pick Pledges to Address Student Loan ‘Crisis’
The U.S. last year froze payments and interest for all federal student loans in response to the coronavirus pandemic. Those protections are expected to remain in place at least through the end of September.