The ever-changing landscape for student loan borrowers received another change. The recent announcement of the new Secure 2.0 Act has many facets to it. Some go into effect as early as December 31, 2022. Others go online starting in 2023, 2024 and beyond. In one particular section it provides very productive change in terms of the way employees save for their retirement and while having a large impact on student loan borrowers.
Starting in 2024, the Secure 2.0 Act will allow employers to provide their employees 401 (k) contribution matches based on their student loan payments. Student loan payments can be considered an elective deferral and can be applied to a company’s matching policies.
How Fiducius plays a role in this process is what you would come to expect from the industry leader in student loan benefits. Our expertise leveraging Student Loan Financial Planning℠ as it relates to the Secure 2.0 Act will provide peace of mind for the borrower, as well as their employer. We will navigate through this process and offer a course of action that will complement your existing retirement plan and employer match. Ultimately, this will stimulate more participation within your current retirement plan.
Contact your Fiducius representative today to learn how to incorporate this solution into your student loan benefit.
