3 ms·
> The closest in the US is the company you work for can match up to 4%. Is there actual regulation that limits how much a company can match? This [1] refers to
by extra88 11y ago
> The closest in the US is the company you work for can match up to 4%.
Is there actual regulation that limits how much a company can match? This [1] refers to 6% as a common practice, not a limit imposed on employers.
At two universities where I've worked, the university's contribution to a 403b (401k for non-profits) didn't require any contribution by the employee. At one the university's contribution was 6.25%, at the other it was 5% for employees under 40 and 10% for those 40 and older.
[1] https://en.wikipedia.org/wiki/Employer_Matching_Program https://en.wikipedia.org/wiki/Employer_Matching_Program
- chrshawkes 11y agothis is bogus, the company I work for has put 10% into my 401k for 10 years now. I'm effectively saving 15% of my income every year.
- kayman 11y agoThere is no regulation. Different companies contribute different amounts, all part of their benefits package. Ex: Company A might pay a high salary but low match. Company B might pay a lower salary but contribute x% to 401k.
- phonon 11y agoMost companies only want to do a safe harbor match (roughly 3%-6%, depending on how it's set up) on their 401(k) plans...otherwise the auditing (annual testing requirements) requirements are a real pain. http://www.guidestoneretirement.org/ToolsandEducation/safeharbor.aspx http://www.guidestoneretirement.org/ToolsandEducation/safeha...