Great-West Life introduces a flexible savings approach that helps employees build savings while paying down student loan debt
WINNIPEG, Oct. 24, 2017 /CNW/ - Canadians enter the workforce with an average of nearly $27,0001 in student loan debt. Such high amounts of debt typically take 10 years to repay, which means many delay saving for traditional life goals like home ownership, starting a family or retirement.
In response to this increasingly common problem, Great-West Life is piloting a first-in-Canada voluntary retirement and savings program with select employers and their eligible employees. As participating members pay down their Canadian and provincial government student loans, they receive an employer-matched contribution to their group retirement and savings plan. This allows members to save for their futures while they focus on paying down their student loan debt.
"This program is the result of our ongoing discussions with Canadians about their financial realities," says Jeff Macoun, Executive Vice-President, Group Customer, Great-West Life. "The approach is simple and responds to the need for increased plan flexibility. More importantly, it makes saving achievable and relevant for those managing student debt loan repayments."
The pilot is scheduled to launch in the first quarter of 2018 and will continue to evolve based on client feedback and results.
About The Great-West Life Assurance Company
Founded in Winnipeg in 1891, Great-West Life is a leading Canadian insurer. Together with our subsidiaries London Life and Canada Life, we serve the financial security needs of more than 13 million people across Canada with financial and benefit plan solutions. To learn more, visit www.greatwestlife.com.
1 Consortium, C.U. (2015). Graduating Student Survey Master Report.
SOURCE Great-West Life Assurance Company
For further information: Tim Oracheski, Director, Media & Public Relations, Great-West Life, 204-946-8961