My company did 4% matching at 100% every paycheck, and 2.5% at 100% of your annual salary once a year, so if you maxed it out and stayed the year, you'd get 6.5% total matched. No vesting, it was yours immediately.
You know, I was thinking about it, 401k is definitely one of the things that's going on the chopping block once the next recession comes and employees turnover. Hell, maybe even benefits in general. Companies are going more and more towards contract work where you get no benefits.
Wut? So you're thinking they will take away 401k as a benefit?
I'm 31. Guarantee you I'll not only retire - but do so significantly early heh. Comes at the cost of not over spending and not getting new cars every 5 years, but I'll take it.Yeah. I guess it could be spun that (lets face it) anyone under 40 now isn't going to retire.
You know, I was thinking about it, 401k is definitely one of the things that's going on the chopping block once the next recession comes and employees turnover. Hell, maybe even benefits in general. Companies are going more and more towards contract work where you get no benefits.
Yeah, I would expect 401k matches to be one of the first things to get cut during the next recession.
I sure hope that does not happen, but I could see that as an easy thing for employers to cut, or reduce the matching percentages. Who would have thought 30 years ago that private pensions would disappear as quickly as they did.
My father grilled it into me, and my brother that we needed to start saving for retirement as soon as we graduated from college. It was hard, but it was worth it. Compounding is the key. The long term of slow and steady sure beats trying to play catch up when you are 45-50 years old.
I see far too many younger people who have the latest phone, smart watch, new car, eat out every meal, and then complain that they have student loans, and can't save for retirement. They don't even have kids, and mortgages yet!
It sneaks up on you...one day your 25...the next day you are in your 50's and broke, with no retirement savings.
Me...I just shake my head, and know that I will be sitting on a beach drinking a beer relaxing in my later years.
Yeah, I would expect 401k matches to be one of the first things to get cut during the next recession. If you're older than 40, though, you should have enough saved up to retire... eventually.
I sure hope that does not happen, but I could see that as an easy thing for employers to cut, or reduce the matching percentages. Who would have thought 30 years ago that private pensions would disappear as quickly as they did.
My father grilled it into me, and my brother that we needed to start saving for retirement as soon as we graduated from college. It was hard, but it was worth it. Compounding is the key. The long term of slow and steady sure beats trying to play catch up when you are 45-50 years old.
I see far too many younger people who have the latest phone, smart watch, new car, eat out every meal, and then complain that they have student loans, and can't save for retirement. They don't even have kids, and mortgages yet!
It sneaks up on you...one day your 25...the next day you are in your 50's and broke, with no retirement savings.
Me...I just shake my head, and know that I will be sitting on a beach drinking a beer relaxing in my later years.
I'm not even talking about the match - I'm talking about the 401k in and of itself. It costs the company money to run the plan. It's probably not that much but it's not zero either, and when you factor in participation is probally not much in no match plans it would be an easy call.
The plan I'm on, I was vested immediately and get 10% of my paycheck invested monthly. I had an opportunity 17 years ago to go with a traditional pension, but didn't expect to be in the same organization this long...it required 5 years vesting. I'm hopeful I can stick it out a few more years. I turn 60 in 21 years....so it should snowball some more by then (if I don't give up and retire at 50)... =POurs is vested immediately and they 100% match up to 6%.