401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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The one variable that is ignored by that thought process is cash flow. It's basically the only situation that affects a long-term solution IMO. Sometimes the cash flow opening up from not having a...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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Hi OP,
There was a lot of information in this thread, but it seems like a bit too much for you at this point.
To put it simply, you should ask your HR department to make sure what the terms of...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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wow you just gave me a lot of information to digest and go through when I get home from work. thank you!
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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Generally this means you company will match X% of what you contribute to your 401k plan, up to a limit of Y% of your annual salary. The company contributions typically are added at the same time...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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I know this thread is going off topic a little, but from your discussions it really boils down to each individual/family situation.
I think most people in the situation of having a large debt at...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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What I am trying to grapple with is time. I was listening to DR once and someone called in, asking what to do with $20k they had come into (inheritance? I don't recall the exact #) - pay off a car...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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Making minimum payments on debts is, of course, priority number one. If there is no employer match available or once the employee contributes enough to get the full employer match, then it might make...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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If you have the ability to contribute to your 401k to get the full employer match AND pay down your credit card debt within a couple years then of course you should do both. But the question here, I...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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Why would you even want to withdraw from a retirement account to pay a CC bill? If your finances are so insecure that you're at risk of being unable to make minimum payments on your credit cards then...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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Technically, yes. But can you withdraw it to pay your CC bill? Likely not right away, and certainly not for free. So now you've earned that great 50% return on your 401K dollar in year 1, followed by...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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Irrelevant IMO. Company 401k match is free money.
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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You seem to be ignoring the immediate match from the company itself while comparing the gains on this match to the interest charges. That doesn't make much sense. I was going to write up an...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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cc debt will compound at 25%. the match is only going to compound at 8% maybe. not to mention the match isn't an immediate return since you can't pull it without penalty and we are assuming he is...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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This usually means that if you elect to contribute 4% (or 10% for the other company) of each gross paycheck amount to your 401k your employers will match 50% of your contribution, so they would add...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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The verbiage used is not very clear. You could look at your 401k accounts and figure it out on your own or if you have your 401k brochure it might explain it in detail. If it's still not clear just...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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Your best bet is to just ask your employers. Your 4% match could be that they match up to a 4% contribution of yours, but only provide half that amount (i.e., so they'd contribute 2% if you...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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i have usually seen where they will match x% of your contribution up to y%, with their max contribution inferred. for example, 50% match up to 6% = their max contribution is 50% of 6%, or 3%. if you...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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Gross. I'm confused by your terms though - usually they will, for example, match X% of what you put in up to Y% limit. IOW if you put in 10%, and they match 50% up to 4%, you'll get 4% from them...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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Invest your $ in this order:
1. Investments/Debts with ROI > than expected 401K return
2. 401K up to company match
3. HSA/Roth IRA annual max
4. 529 plan or other tax advantaged savings
5. 401K...
401k percent match - Does it go by how much my gross pay is, or what percent I contribute to my 401k?
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Thread created 09-06-2016 by passive101
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I have 2 jobs and both offer 401ks. One is a 4% match at 50% and the other is a 10% match and 50%.
I am contributing 12% to both of them currently to make sure I get the match, but I started...
