Scott Anderson is regional vice-president of employee benefits at Hub International.
The views expressed are those of the author and not necessarily those of Benefits Canada.
The demise of many defined benefit pension plans, increased debt levels in retirement and lower savings levels have all contributed to the prevalence of employees working past age 65. However, there’s an often-forgotten factor: many of those Canadians are choosing to work longer because they want to. For those Canadians who do opt for semi-retirement, […]
Many publicly traded companies give employees the opportunity to own shares in the company they work for. Traditionally, that happens through an employee share plan where employees directly purchase their company’s stock, as provided to employees at Starbucks Corp. and WestJet Airlines Ltd., for example. Ownership is beneficial to both the employer and the employee for […]
We’ve all heard over and over again that Canadians spend more than they earn, a trend that has been around for a couple of generations. I’m not referring to people who don’t make enough for a decent living but to those who earn plenty but still spend beyond their means. What are the real reasons […]
Many companies – including Great-West Life, Starbucks and WestJet – offer employee share purchase plans to employees with the expectation of employee retention and entrepreneurial thinking. You may be asking yourself: “What are employee share purchase plans? And do they create the desired results for employers?” What is an ESPP? A compensation plan typically designed to provide employees with a […]
Time and again we hear employers say the reason they provide a group retirement plan is to attract and retain quality employees, while younger employees say they are looking for a benefit plan that includes group retirement when choosing an employer. But when we look at the activity statistics of group retirement plans, we see that fewer than […]
Retirement planning has two equal sides, one in which the focus is saving for retirement (accumulation) and the other in which your focus is managing your spending while in retirement (decumulation). Together they complete the picture of your retirement so extensive planning is required to ensure it’s a picture you want to live with. As […]
While the decline of defined-benefit pension plans puts greater investment risk on employees, they do have options for securing at least a partially guaranteed benefit. Some plan providers now offer deferred annuities within group retirement plans for employees who feel more comfortable knowing what their payments will be in retirement. It’s not right for everyone […]
Many employees know the value of taking part in their company-sponsored savings plan but unfortunately not enough. They know it’s a valuable tool to help them grow their retirement savings and prepare them for the day they will need to draw on those savings. Many company-sponsored plans are a good start for retirement savings but need to be supplemented with personal saving outside of the plan.
A lot of employer time and effort goes into providing education and training for employees regarding retirement savings in company-sponsored settings, but not enough time is spent addressing the wellness aspect of financial planning. Financial wellness is not just about employees achieving their long-term savings goals; it addresses the body’s responses to financial stress and the effects of those stressors on your organization.
While a majority of plan members participate in their voluntary group retirement plans, a large minority of them are forfeiting the employer contribution altogether.