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401(k) Matching Formulas that could Boost Participation without Breaking the Budget

401(k) Matching Formulas that could Boost Participation without Breaking the Budget

July 14, 2020

Offering a retirement plan shows your employees that you are committed to helping them save for their future. A matching formula is a great way to give a little bit more to your employees and increase contributions!

There are many matching formulas that can boost contributions and won’t break your bank or budget. Here are three to consider:

  • Safe Harbor
  • Graded Vesting
  • Cliff Vesting

In this guide, you will gain insights about these three formulas, their advantages and eligibility requirements.

>>3 Cost Effective Ways to Expand 401(k) Participation>>

This information was developed as a general guide to educate plan sponsors and is not intended as authoritative guidance or tax/legal advice. Each plan has unique requirements, and you should consult your attorney or tax advisor for guidance on your specific situation.

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