Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Any companies doing away with 401k match?
Old 08-14-2008, 11:52 AM   #1
Recycles dryer sheets
 
Join Date: Jan 2007
Posts: 222
Any companies doing away with 401k match?

Just read this article, and was wondering if anyone's experienced their company taking away a 401k match:
No 401(k) match? No problem - MSN Money
__________________

__________________
CompoundInterestFan is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 08-14-2008, 12:14 PM   #2
Thinks s/he gets paid by the post
 
Join Date: Jan 2008
Posts: 2,020
Not here...

YTD company match: $5,869.63

It's called out as part of my total compensation. If they take it away, then I'd expect to either get that as an increase to my salary. Otherwise, call it what it is, a pay cut.

If it's a move to 'remain competitive' then that's understandable and the employee is free to figure out if they want to stick around and help the company remain competitive or if they want to find a new job with more competitive pay.
__________________

__________________
Marquette is offline   Reply With Quote
Old 08-14-2008, 12:15 PM   #3
Moderator
ziggy29's Avatar
 
Join Date: Oct 2005
Location: Texas
Posts: 15,612
Not yet. They are currently matching the first 5% of pay dollar for dollar.
__________________
"Hey, for every ten dollars, that's another hour that I have to be in the work place. That's an hour of my life. And my life is a very finite thing. I have only 'x' number of hours left before I'm dead. So how do I want to use these hours of my life? Do I want to use them just spending it on more crap and more stuff, or do I want to start getting a handle on it and using my life more intelligently?" -- Joe Dominguez (1938 - 1997)

RIP to Reemy, my avatar dog (2003 - 9/16/2017)
ziggy29 is offline   Reply With Quote
Old 08-14-2008, 01:32 PM   #4
Moderator
bssc's Avatar
 
Join Date: Dec 2005
Posts: 9,929
Still matching here. However, I suspect that we won't be getting as much profit sharing.
__________________
Angels danced on the day that you were born.
bssc is offline   Reply With Quote
Old 08-14-2008, 01:38 PM   #5
Recycles dryer sheets
madsquopper's Avatar
 
Join Date: May 2006
Location: Vienna
Posts: 93
So far so good. You are "forced" to contribute 2% of your salary, but then they dump in 7.5% as a match. After that, anything up to your additional 10% input is matched at a third. So if you max out, you end up with a total match of 7.5 + 3.33 = 10.83%

Larry
__________________
madsquopper is offline   Reply With Quote
Old 08-14-2008, 02:29 PM   #6
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
FinanceDude's Avatar
 
Join Date: Aug 2006
Posts: 12,484
Quote:
Originally Posted by madsquopper View Post
So far so good. You are "forced" to contribute 2% of your salary, but then they dump in 7.5% as a match. After that, anything up to your additional 10% input is matched at a third. So if you max out, you end up with a total match of 7.5 + 3.33 = 10.83%

Larry
It's the best cheapest way to keep employees around..........
__________________
Consult with your own advisor or representative. My thoughts should not be construed as investment advice. Past performance is no guarantee of future results (love that one).......:)


This Thread is USELESS without pics.........:)
FinanceDude is offline   Reply With Quote
Old 08-14-2008, 04:29 PM   #7
Recycles dryer sheets
Milkman's Avatar
 
Join Date: Apr 2007
Location: Longmont, CO
Posts: 66
We have never had a "match," but the profit sharing contribution from the company is a minimum of 3% of salary and refered to a "Safe Harbor." Total profit sharing contribution over recent years has been in the neighborhood of 7-8% of total annual earnings. It is my understanding that the "Safe Harbor" permits higher earning employers to max out on their contributions. A number of years ago, I had to stop making contributions in October for that reason. Now, with the "Safe Harbor" provision, there are no restrictions.

Milkman
__________________
Milkman is offline   Reply With Quote
Old 08-14-2008, 10:55 PM   #8
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
harley's Avatar
 
Join Date: May 2008
Location: Following the nice weather
Posts: 6,428
Just as I FIREd, our company did away with the pension. This is one of the reasons I bailed when I did.

At the time, they matched 83.5% of 6% = 11%. What they did to soften the blow with the pension is to contribute up to an extra 3% into the 401k. The increase is dependent on how the company does each year. If they kick @$$, the employees that bother to put money into the 401K could do quite well (up to 14% for the cost of pre-tax 6). Of course, there hasn't been much @$$ kicking in the 2 years since I left.
__________________

__________________
"Good judgment comes from experience. Experience comes from bad judgement." - Will Rogers, or maybe Sam Clemens
DW and I - FIREd at 50 (7/06), living off assets
harley is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Could companies stop matching 401k contributions? Finance Dave FIRE and Money 21 07-19-2008 09:09 AM
Sound Doesn't Match Video on TV TromboneAl Other topics 19 04-06-2008 08:33 PM
Uruguayan companies? Art G Stock Picking and Market Strategy 0 11-07-2007 04:05 PM
GM suspends 401(k) match for salaried employees Marketneutral FIRE and Money 72 12-16-2005 06:57 PM

 

 
All times are GMT -6. The time now is 06:25 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.