Friday, June 11, 2010

Quick Tip: Take Advantage of a 401(k) Match

Most employers offer a matching contribution to a 401(k) account up to a certain percentage of your gross salary. Whether it is a dollar for dollar match or a 50% match (i.e. $0.50 contributed for each $1.00 you contribute), that is money ready to be handed out to you simply for setting aside money for retirement. And that is something that you should be doing anyway. Bloomberg reports that 91% of 401(k) participants belong to a plan that offers a match. Make sure you are enrolled in your employer's 401(k) matching program and increase your contribution percentage to the maximum matched by your employer. The earlier you start saving, the more you will have for retirement.

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