Your Employer May Be Offering Free Money Through Your 401(k). Here's How to Claim All of It.
Bottom line
A typical employer match is worth $2,750 a year. money that vanishes if you don't contribute.
In this guide
What it is
A 401k is a retirement savings account your employer sets up for you, where money comes out of your paycheck before taxes and grows until you retire.
By the numbers
On a $55,000 salary, if your employer matches 50% of contributions up to 6% of your pay, contributing $3,300 a year gets you an extra $1,650 from your employer. that's a guaranteed 50% return on that money before it even gets invested.
How it works
You tell your employer what percentage of each paycheck to put in, it moves automatically before you ever see it, and your employer deposits their matching dollars on top. your balance grows from both contributions at once.
The catch
The match only applies up to a specific percentage of your salary, and if you contribute even 1% below that threshold, you forfeit every dollar of the employer contribution. not just a portion of it.
What to check next
Log into your employer's HR or payroll portal this week and set your 401k contribution to at least the percentage your employer matches.
Your next step
Now put it into practice with your own numbers.
Go deeper with your own numbers — tools, plain-English explanations, and a clear starting point for your specific situation.
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