While student loan repayment is clearly a huge pain point for many employees, others are more focused on how they can prevent their kids or grandkids from encountering the same loan crisis when it’s time for them to attend college. The obvious answer? 529 college savings plans.
(What is a 529 plan? Learn more about them by checking out our FAQ.)
Give employees the ability to invest in 529 college savings plans via simple payroll deduction
Provide an employer match for a percentage of what employees put into their 529 plans
Provide an employer match for all of what employees put into their 529 plans with annual cap
The nation’s issue with student loan debt has spiraled so far out of control that it’s commonly referred to as an economic crisis. With recent figures showing U.S. student loan debt has reached a whopping $1.34 trillion, it’s become a problem that affects everyone. Add it all up and it’s a no-brainer for companies to begin offering employees assistance with “student” loan repayment.
Provide a direct employer payment to one or more employee student loans, or match for a capped percentage of employee payments
Set-up a customized student loan payment benefit that drives employee engagement and retention
Simplify higher ed benefits by integrating with automated payroll deductions for easy administration and reporting
Call us at 800-645-5323 to learn more or fill out our contact form for more information.
Implementation meeting to identify specific technical requirements and timeline
HR requests new payroll code(s) from provider and completes online set-up
HR sends employees Welcome Guide, Brochure, FAQs, and Invitations to Webinar Events
Employees enroll by entering their plan and/or loan information and contribution amounts
On a regular basis, HR communicates eligibility information to LEAF to ensure only eligible employees can enroll or are current for LEAF services
For each upcoming payroll, and multiple payroll periods and divisions are supported, LEAF automatically communicates with payroll
After each payroll, LEAF reconciles actual deductions based on employee payroll qualifications and communicates with benefits platform
All plan contributions, optional matching funds, and/or student loan repayments are made by ACH transfer and are fully FDIC insured
Contributions are disbursed with independently audited bank level security to each respective employee 529 plan(s) and/or student loan servicer(s) according to employee instructions
Employees can sign-in to LEAF at any time to view and/or make changes to their recurring plan contributions or loan repayment details
Read our newest white paper entitled “Employee Engagement & Financial Wellness Programs: An Insider’s Guide” to learn more about how to maximize employee understanding and awareness of new financial wellness benefits.