401K Plans
Miriam George
77 Posts
Am interested in finding out what other companies contribute to 401K plans for their employees. We currently match dollar for dollar of the first $6.00 per week that an employee invests, then $.25 on every dollar after that. What is your employer contribution for your plan?
Comments
Our Plan is set up that this is discretionary, but we have done this for years. I think most importantly is when employees declare this match and actually provide the funds. We match our each month when we deposit our employees discretionary funds.
We are a small (250 employees) privately held manufacturing company. From what I know and have seen, this is a very generous match.
I have worked for an employer who didn't declare their match until after the end of the fiscal year and it varied each year, if any at all. So you don't know what or if you will have one. I have also worked for a large national service company which matched $1 for $1 up to the first 6%. I know of several large national companies that don't match at all.
EWart of GA
We do not offer loans in our 401k, but we do pay our provider for an extra perk. The employees have access 24/7 to a program which helps them decide where they should be investing and will even allocate their investments for them on the spot.
Employees are not eligible for the Plan until 1 year of employment, but are fully vested upon becoming eligible. Our employees seem very happy with the Plan.
Employees do complain when they do not receive the 50% up to 6%; however, when we bring up the facts for example that health premiums increased 65% and the company did not decrease the 80% it pays for coverage and show the numbers in black and white it generally ends the grumbling.
Most of the people I know work for companies that do not make a contribution to the 401k. Just having the 401k available to the employees is perceived as a benefit in itself.
So, if an employee contributes 6% of his/her gross pay each pay period, when all is said and done for the year, we contribute an additional 11% of gross pay.
Not bad huh?