• LinkedIn
  • YouTube
  • Twitter
  • Facebook
  • Google+

Be strategic about matching employees’ 401(k) dollars

by on
in Small Business Tax

Maybe your company has always offered a 100% match on the first 2% of income that an employee contributes to a qualified retirement plan like a 401(k).

But this practice might result in a good outcome for your employees. How about offering to contribute a 25% match to the first 8% that each employee defers to his or her account? It will cost your company the same while encouraging employees to save more. It might even move some nonparticipants off the fence.  

Note: Anti-discrimination rules can restrict contributions of highly paid employees, like the owners of the company. Therefore, it may be in your personal best interest to encourage higher contributions by the rank-and-file.

Like what you've read? ...Republish it and share great business tips!

Attention: Readers, Publishers, Editors, Bloggers, Media, Webmasters and more...

We believe great content should be read and passed around. After all, knowledge IS power. And good business can become great with the right information at their fingertips. If you'd like to share any of the insightful articles on BusinessManagementDaily.com, you may republish or syndicate it without charge.

The only thing we ask is that you keep the article exactly as it was written and formatted. You also need to include an attribution statement and link to the article.

" This information is proudly provided by Business Management Daily.com: http://www.businessmanagementdaily.com/29393/be-strategic-about-matching-employees-401k-dollars "

Related Articles...

    No matches

Leave a Comment