401(k) match on student loan payments
Learn how a provision from SECURE 2.0 can help you support employees tackling their student loans while saving for retirement.
Video TranscriptStudent loan debt has grown 56% in the last decade, limiting people's ability to save for retirement.
It can even force some workers to miss out on their company's 401(k) match, leaving them farther behind.
And it's not just younger workers feeling the squeeze. Gen Ex'ers hold about a quarter of all outstanding student loan debt.
But thanks to the Secure 2.0 Act, it's now possible to help your employees tackle these two financial goals at once. A new provision in the law lets employers match their staff's qualified loan payments with contributions to their 401(k)s.
With Betterment at Work, this new match is streamlined and simple.
Employees log in to their Betterment accounts and record their qualified loan payments, then certify them at the end of the year.
Then, plan sponsors simply log in and approve the 401(k) matches all at once.
Even a modest match can pay dividends, especially when you consider the benefits of retaining a rock-star employee.
New legislation makes it possible, Betterment at Work makes it simple. To learn more, visit betterment.com/secure-act.