This is a truly #BFD. Tell your friends.
Thanks to a provision in the Secure 2.0 Act, legislation aimed at improving retirement benefits nationwide, in 2024 employers will be able to start counting student loan payments as qualifying contributions toward retirement matching programs.
That means if your employer offers to match your 401(k) contributions, you could get that matched money without ever depositing funds in your retirement account.
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Instead, your monthly student loan payments would count as your “contribution.”
The benefit could be especially significant for recent graduates, who often have moderate incomes ($58,000 to start, on average) and high levels of debt (an average of $33,000 for federal borrowers aged 25 to 35).