- Similar to the Charitable Donation Account, employers and employees are eligible to contribute money to this employee-owned account designed to save towards giving goals. However, the money contributed is not reserved for charitable donation and can be distributed back to the employee if needed.
Why?
Participant Benefits
- Funds can be transferred back to participants if an unforeseen need arises without penalty or worry.
- Tax-deductible when funds are donated to charity.
- Improves financial & mental wellbeing.
Employer Benefits
- No compliance risk is involved because there is no tax advantage on this account.
- Improves recruiting, retention and engagement.