Nonprofit Employee Benefits

The government and other sources offer various resources and free services to nonprofit employees that individuals can take advantage of.

This page is meant as a resource for nonprofits and individuals alike, helping everyone understand the benefits that nonprofit employees can and should receive.

Student Debt Forgiveness

The United States Federal government offers complete student load forgiveness to folks who are employed by a nonprofit and meet other specific criteria. Learn more below:

Public Service Loan Forgiveness | Federal Student Aid 🔗

Other Benefits

Remember, the specific benefits offered can vary greatly between different nonprofits, so it’s always a good idea to check with the specific organization for the most accurate information.

• 403(b) Retirement Plans: Similar to 401(k) plans offered by for-profit companies, 403(b) plans allow employees of nonprofit organizations to contribute a portion of their salary to a tax-advantaged retirement account.

• Income-Driven Repayment Plans: These plans cap your federal student loan payments at a percentage of your income. After a certain period (usually 20-25 years), any remaining loan balance is forgiven.

• Teacher Loan Forgiveness: Teachers who have been employed full-time in a low-income school or educational service agency for five consecutive years may be eligible for forgiveness of up to $17,500 on their Direct Loan or FFEL Program loans.

• Perkins Loan Cancellation and Discharge: For individuals who perform certain types of public service or certain types of occupations, a portion of their Federal Perkins Loan may be canceled.

• National Health Service Corps (NHSC) Loan Repayment Program: This program offers significant loan repayment assistance to licensed primary care medical, dental, and mental and behavioral health providers who serve in eligible communities.

• Tax Exemptions: Employees of nonprofits may be eligible for certain tax exemptions. For instance, qualified transportation fringe benefits are tax-exempt.

• Health and Medical Benefits: Federal or state laws require most employers to offer health insurance and medical leave.

• Unemployment Insurance: This is a mandatory benefit required by federal or state laws.

• Workers’ Compensation: This is another mandatory benefit that provides wage replacement and medical benefits to employees injured in the course of employment.

• Family or Medical Leave: The new tax law created a general business credit equal to 12.5% of wages paid to qualifying employees who are on family or medical leave.

Please note that the specifics of these benefits can vary based on the individual’s circumstances and the regulations of the state they reside in. It’s always a good idea to consult with a tax professional or benefits counselor to understand the full range of benefits available.