Attract Talent with College Savings as a Benefit By Meredith Sager McNett
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early four million people quit their jobs in April 2021, and that trend continued through the remaining months of 2021 and into 2022. Employers were left scratching their heads, trying to identify ways to retain their workforce.
Offer Benefits “People are not just looking at compensation as their base salary anymore. [They] are really thinking about ‘what are you offering me in terms of the other benefits that help me achieve my goals and manage my life?’” stated Kristen Carlisle, general manager of Betterment at Work. As America’s job market navigates “The Great Resignation,” it is important for employers to offer unique benefits to attract and retain the best employees. Experts encourage creating work environments that enhance physical and mental health, but what about adding financial wellness to that package?
529 College Savings Today, a financial wellness plan is incomplete without educational savings. This can include covering the costs of education for dependents as well as paying back an individual’s own student loan debt. As employers search for creative ways to attract and retain talent, offering the benefits of a 529 plan should be at the top of their list. A survey conducted by PricewaterhouseCoopers (PwC) found that 87 percent of workers look to their employers to provide ideas and strategies to help ease their stress related to personal finances. Encouraging your employees to open a my529 account tells them that you are invested in them and their family’s financial wellness. An easy way for you to assist your employees in building savings wellness is by providing information that explains how to set up an account with my529, Utah’s educational savings plan.
Meeting Employees’ Needs A my529 plan offers built-in versatility as the funds can be used in many ways to meet individual needs. The money invested in a my529 plan can be used to pay tuition, fees, and other qualified education expenses. my529 account funds can even be applied toward the cost of registered apprenticeships. Other eligible costs include certain K–12 tuition expenses or payments on qualified student loans (up to certain limits). Accounts are also transferrable to other family members. As employees use my529 funds to pay off student loans and avoid taking additional loans to pay for schooling for themselves or their dependents, they can assure a more secure financial future. my529 can provide helpful tools for employers to begin offering 529 plans to their employees as part of an overall financial wellness package. Learn more at https:// my529.org/other-essentials/employer/ or by emailing employer@my529.org.
Meredith Sager McNett is a writer for my529 at the Utah System of Higher Education. She is passionate about education, music, and the stories people write and tell. She is a former high school English teacher, law librarian at the S.J. Quinney Law Library, and personal property tax auditor for the Utah State Tax Commission.
A my529 plan offers built-in versatility as the funds can be used in many ways to meet individual needs.
Important Legal Notice Investing is an important decision. The investments in your account may vary with market conditions and could lose value. Carefully read the Program Description in its entirety for more information, and consider all investment objectives, risks, charges, and expenses before investing. For a copy of the Program Description, call 800-4182551 or visit my529.org. The state in which you or your beneficiary pay taxes or live may offer a 529 plan that provides state tax or other benefits, such as financial aid, scholarship funds, and protection from creditors not otherwise available to you by investing in my529. You should consider such benefits, if any, before investing in my529. my529 does not provide legal, financial, investment, or tax advice. You should consult your own tax or legal advisor to determine the effect of federal and state tax laws on your particular situation.
Summer 2022 :: Southern Utah Business Magazine 39
