An employer match is part of your pay. If you contribute less than the amount needed to get the full match, you're turning down money. December is a good time to check, because most payroll contributions for the year end with the last paycheck.
1. Find your match formula
It's usually written like "100% of the first 3%" or "50% of the first 6%". Your plan documents or HR portal will have it.
2. Work out the contribution needed for the full match
Example: salary $60,000, match 50% of the first 6%. You need to contribute 6% ($3,600 a year) to get the full $1,800 match. Contributing 3% would leave $900 on the table.
3. Check whether your plan has a "true-up"
Some plans match per paycheck. If you front-load contributions and hit the yearly limit early, you can miss match on later paychecks unless the plan does a year-end true-up. Ask HR.
4. Check the vesting schedule
Matched money may vest over several years. If you're thinking about changing jobs, the vesting date can be worth knowing.
5. Set next year's percentage now
If you get a raise in January, raising your contribution by even 1% at the same time is hard to notice in your take-home pay.
Free tools
- 401(k) match calculator
- Free 401(k) contribution tracker spreadsheet (CSV for Excel / Google Sheets)
- Roth vs traditional calculator
- Net Worth Tracker (36-month log, change and growth calculated automatically)
- 42 free budget templates, pay what you want ($0 is fine)
General information, not personal financial or tax advice. Plan rules vary; check your own plan documents.