Saskatchewan Pension Plan

Saskatchewan Pension Plan

January 30, 2012 18:26 ET

No-Cost Pension Plan Increases Competitiveness for Small Business

REGINA, SASKATCHEWAN--(Marketwire - Jan. 30, 2012) -

Editors Note: There is a video associated with this Press Release.

Improvements to the Saskatchewan Pension Plan (SPP) provide a way for small to medium-sized businesses to increase their competitive advantage while helping employees plan for the future: a business plan that provides the important benefit of a pension plan for employees.

"Small to medium-sized businesses in Canada face many competition issues that make it difficult to attract and retain excellent employees," said Katherine Strutt, general manager of SPP. "Our business plan makes it easy for employers to extend highly valued pension benefits to their employees. Not only does it provide a competitive advantage, but it's easy to use -- there's no cost to employers, and it's totally administered by SPP - we even send out the tax receipts and statements to the individual employees."

SPP has $298 Million in investment, and 32,000 members, many in Saskatchewan but others from across Canada. "We started getting a lot more attention recently when the federal government introduced its pooled registered pension plan (PRPP)," said Strutt, "but I'm proud to say that we developed and implemented this model 25 years ago. In fact, when PRPP was announced, Toronto Star called the SPP business plan 'Canada's best kept secret!"

Support for the model is growing, with a recent poll of 800 companies in Canada showing that 71 per cent of those surveyed agreed that employers should offer some form of retirement plan to workers, with PRPPs touted as a low-cost alternative. Beltone Hearing is a small Saskatchewan business with nine employees, and has to compete with large businesses that offer big pension plans and group benefits. "We like SPP's business plan because it removes all our concerns about costs and administration, and because it's flexible - even customizable. Employees can contribute themselves through payroll deductions, and employers can match those contributions if they choose," said Kim Getson. "By far the biggest value we get from SPP is our competitive ability to provide this benefit to our employees, and they appreciate that."

SPP recently increased its maximum contribution to $2,500 per year, and members may also now transfer up to $10,000 per year from their RRSPs and other pension plans. The funds are managed by Greystone Managed Investments Inc. and Leith Wheeler Investment Counsel Ltd., and have competitive returns.

The 2012 deadline for SPP contributions is February 29, and all the usual tax benefits apply for member contributions. To learn more about SPP's business plan, visit www.saskpension.com or call toll-free to 1-800-667-7153.

To view a video about how Saskatchewan Pension Plan's no cost employer pension plans can give small businesses a competitive advantage, visit the following link:

http://www.youtube.com/user/SPPvblog?blend=4&ob=0

To view the Saskatchewan Pension Plan Employer Guide, please visit the following link:

http://www.saskpension.com/pdfs/documents/2011Employer_Guide.pdf

Contact Information

  • Saskatchewan Pension Plan
    Gail Genest
    Manager of Business Development
    306-955-9915
    Cell: 306-321-7017

    Saskatchewan Pension Plan
    Bonnie Meier
    Manager of Client Service
    306-463-5419
    Cell: 306-628-7671