Employer Match

An employer match is a benefit where your employer contributes additional money to your retirement savings plan, such as a 401(k), based on the amount you contribute. For example, if your employer offers a 50% match on your contributions up to 6% of your salary, and you contribute 6%, the employer adds an extra 3%. This effectively increases your savings and accelerates your retirement fund growth. The match is an incentive for employees to save for the future and varies by employer. It's important to understand your plan's specific rules to maximize this benefit.