401K Company Matching Amounts

[Car-Guy]

There seems to be a lot of threads recently talking about 401k's and matching funds (directly or indirectly). It got me wondering about different company matching fund policies for 401k's, etc. Just out of curiosity, for those that have (or had) 401k(s) or tax deferred equivalent accounts with an employer, what was the companies matching percentage that you received?

The first mega corp I worked for would match 50% of my contributions up to 6% of my salary. The second mega corp I worked for would contribute 7% if I contributed 6% of my salary.

Care to share your experiences?

 

[LOL!]

My first US employer put 15% of my salary into a 403(b) and I didn't have to contribute a dime.

My 2nd US employer put 2% of my salary into a 401(k) and I didn't have to contribute a dime.

 

[braumeister]

The first mega corp I worked for would match 50% of my contributions up to 6% of my salary

Mine was the same. I think that was kind of a standard in many companies.

 

[LOL!]

The first mega corp I worked for would match 50% of my contributions up to 6% of my salary.

So is that 3% max of salary because after all 50% of 6% is 3%?

If one contributed 6% of salary, then 50% of the contribution would be 3% of salary.

 

[Texas Proud]

So is that 3% max of salary because after all 50% of 6% is 3%?

If one contributed 6% of salary, then 50% of the contribution would be 3% of salary.

I would assume yes...

It gets me when people say they get a 3% match if they contribute 6% of salary..... no, they get a 50% match of what they put in.... OR, they get 100% match but only up to 3% of salary... I do not know since they did not tell me...

 

[Texas Proud]

The first company I was with that offered a 401(k) when it first came out offered a 25% match to 4% of salary... I never invested in it since I knew I was not going to be there long...

Second company offered a 100% match up to 12% of salary!!! I always maxed out... but I was not making much so it really did not grow that fast...

Third company offered a 100% match I believe to 6%.... I decided to look it up and now the max is 5%... they now also only contribute annually, so if you leave before Dec 31st you get nothing... I also find it interesting that they will NOT match if your salary is over $250K...

My last company they matched 50% up to 6%....

 

[Johanson]

I have been with the same Megacorp for over 28 years. When I started they matched 100% up to 4%. Then they matched 100% up to 6%. Then they increased it to 100% up to 8%. After the financial crisis hit, they dropped it to 50% up to 8%. A couple of years later they changed it to 62.5% up to 8%. Two or three years ago they upped it again to 75% up to 8%.

 

[Just_Steve]

401K zero match
457b zero match
State govt can be cheap with a buck when they want to be.

 

[Gumby]

I have never had a match.

 

[bada bing]

Current master: 100% match of first 7%
Previous master: 100% match of first 6%
Master before that: 100% match of 4%

All of them have 100% company funded pension plans as well. The
details varied widely, but the net result was close to the same for my
bottom rung level: About $100 per month at age 65 per year of service.

I have no complaints about the responsibility my big business masters
have shown over the years for my welfare. I've been lucky.

 

[2017ish]

I believe ours, in a less than 10 employee shop, is 4% of eligible pay as a safeharbor contribution.

 

[Walt34]

The 457 I had did not have any match. However, I they also offered DB COLA'd pension which they stopped offering about 1984. I was grandfatherd in since I started in 1973.

The next employer offered a 401k with a 50% match up to 6% of pay, which I did not participate in because previous employees had to hire a lawyer to get the funds out and it took two years, so I did not trust them. The company seemed very poorly run and was poorly organized. They went bankrupt shortly after the contract ended.

The next company offered the same and I did participate in that one but I left after about a year because conditions were going to rapidly deteriorate.

 

[scrabbler1]

I worked for one company in my career, from 1985-2008. From 1985-1990 they matched our 401k contributions at 50% up to 6% of salary, that is they added as much as 3% of salary. Starting in 1991, they upped their match to 75%, up to 6% of salary, or 4.5% of salary overall.


We were allowed to contribute more than 6% of salary, but I forget how high that limit was. It was at least 10% because I did increase my share to that level for a short time. And we had a separate limit for after-tax contributions which was 10% because I had that for a short time, too. The company match didn't change.

 

[Texas Proud]

Just as an FYI, the plan does not have to limit the % you contribute... a number of them do, but the gvmt only is concerned with the total amount...

My last job when I set up the 401(k) and we set the max contribution to 90% of salary....

 

[DrBrisket]

First j*b at megacorp: 6% match dollar for dollar
Second j*b at startup: 0% match
Third j*b at private university: 10% without contributing a dime

 

[exnavynuke]

100% match for the first 3% I contribute.
50% match on the next 3% I contribute.
Matching calculated for each paycheck.

 

[jazz4cash]

Megacorp matched 100% up to 4% and you could contribute a max of 50% but you would lose the match if you hit the limit. When business was bad the match would be reduced for awhile but I think 25% was the lowest it ever got. They also provided either DB pension or 4% contribution depending on date of hire. They picked a 1st rate custodian (Fido) and the plan was excellent in terms of choices and very employee friendly. This plan rolled out in '83 and replaced the stock purchase plan. I consider myself very fortunate to have had both 401k and DB pension.

 

[Sunset]

100% match for the first 3% I contribute.
50% match on the next 3% I contribute.
Matching calculated for each paycheck.

My last company matched a low percentage.

The tricky part is the matching was per pay period, so if you missed the last few pay periods, you didn't get the matching, even if you put in lots more than the other guy over the year.

So sometimes you have to spread it out, which sucks if you are going to leave during the year.

 

[ER-Troy]

I contributed mandatory 5% to defined-benefit plan. But we also had voluntary 401/457 which the company would match up to 4%. I chose 457 since I could take "cash-out" without penalty (at age 42). - public servant

 

[fritz]

Last two companies I worked for (and DW's last company) matched 50% up to 6% of our pay. It was per pay period - which led to several issues. Difficult to max contributions and get to the end of year payroll with quarterly commissions at one, and quarterly and year end bonuses at the other. When your contributions stop (you max out) - so does their match. It makes for some interesting maneuvers to insure 6% contributions to year end to maintain the 3% match.

Turns out we were the only ones in some fairly large corporations that actually took advantage of maxing out 401K contributions and used the 50+ catch up contributions available as well. Neither of my companies (or DW's) had bothered to set up the catch up contribution in their payroll systems. Contributions stopped at one, and after tax contributions started at the other. Matching also stopped at the one. DW's had contributions stopped along with the match.

Took a bit to get I.T. in all three to set up for 50+ and restart 401K contributions along with their match. Lost matching contributions and incurred taxes on increased pay were water under the bridge (would not reverse the pay checks for 401K contributions or make up the lost match). After it happened the first time - talked to HR about 401K catch up for 50+ and was told was good to go at second company (HR and I.T. apparently don't talk to each other). This was also the case with DW's.

 

[ER-Troy]

I contributed mandatory 5% to defined-benefit plan. But we also had voluntary 401/457 which the company would match up to 4%. I chose 457 since I could take "cash-out" without penalty (at age 42). - public servant

Retirement to me is like being a kid again. I'm enjoying every single day of it!

 

[bUU]

There seems to be a lot of threads recently talking about 401k's and matching funds (directly or indirectly). It got me wondering about different company matching fund policies for 401k's, etc. Just out of curiosity, for those that have (or had) 401k(s) or tax deferred equivalent accounts with an employer, what was the companies matching percentage that you received?

Right now, my company matches 100% of contributions, up to 6% of gross salary for each paycheck. My spouse's company matches 50% of contributions, also up to 6% (for an effective match of 3%).

Prior to acquisition of my employer, last October, I went fourteen years without any match. Prior to that, my employer had been matching 100% of 3%, but eliminated the match when times got tough.

Prior to that my spouse and I worked for a couple of employers together, and they matched 50% of 6%.

 

[bingybear]

Last company did not have a 401k or similar, one before that had a 401k with no match. Both were start ups.
The 20 years before that the company (or part of the company) changed names through acquisitions or split offs. I don't remember all the 401k terms for all those companies or the one before. The thing I do remember was that maxing out your 401k contributions too early could cause you to loose some match. In some cases a bonus (not real big) would also be matched if as income. However, if you could not contribute enough the last month, then you left money on the table.

 

[cooch96]

Megacorp matches 50% of first 5% for each paycheck. This includes bonuses, so I adjust my contribution limit a couple times a year to make sure I get that 2.5% for the whole year while maxing out the 401(k) limit.

DW's 403(b) does not offer a match. And with a nearly 2% ER, it feels like a scam and I encourage her to fund her IRA instead.

 

[target2019]

I've had two experiences with 401k accounts.

Megacorp program changed. At first they gave 4% of salary, in company stock. From what I recall it wasn't described as a match.
The corporation equalized things across businesses later. You received 50% match on the first 8% of your contribution, up to 4% of salary. The maximum contribution I could make was 25%, which was most of the time. I never left match money on the table.
Expense ratios were extremely low. I use index fund options.

Minicorp matches 50% on the first 15% of your contribution up to $2500 total for the year.
Expense ratios vary. They are not ridiculous, but about 50 BP higher than you'd prefer. I can live with it for a few years.

Also using/used max catchup in both situations.