Retirement Targets

[JP4CY]

Why I enjoy my employer going to 25% contribution. Previous companies would do 6% match 401ks, but getting straight 25% of salary contribution into retirement is awesome.

Helluva way to retain employees.

 

[motorcy90]

Helluva way to retain employees.

Yeah a few guys getting ready to retire in the next few years with a couple million saved up over the years here. I figure adding just 6% into the 401k they offer alongside should be golden in about 30 years.

 

[cstrunk]

Why I enjoy my employer going to 25% contribution. Previous companies would do 6% match 401ks, but getting straight 25% of salary contribution into retirement is awesome.

That's... insane. How can a company afford that? Do they reduce other benefits? Or did they find out how to print money?

 

[CascadeClone]

That's... insane. How can a company afford that? Do they reduce other benefits? Or did they find out how to print money?

Its cheaper to pay in 401k match than salary. No FICA or tax withholding. So you give all the cash out, instead of like 60% after tax.

We do a big (6 figure) profit share bonus every year, split amongst our 20ish employees. But nowhere near 25%!

 

[motorcy90]

That's... insane. How can a company afford that? Do they reduce other benefits? Or did they find out how to print money?

We have full health/dental/vision insurance with employer paid premiums. Basically only pay Co-pays out of pocket.

 

[Bestaluckcy]

When I was working my employers felt I robbed them when they gave 5%. Still was able to get old enough to retire.

 

[JP4CY]

We have full health/dental/vision insurance with employer paid premiums. Basically only pay Co-pays out of pocket.

Just want to add that my employer is at a 50% contribution level.. which I’ve never heard of before. Crazy that companies can offer that..

Do you both feel $ wise that you're underpaid?

 

[Tailg8er]

We have full health/dental/vision insurance with employer paid premiums. Basically only pay Co-pays out of pocket.

Where do you work again? Asking for a friend..

 

[motorcy90]

Just want to add that my employer is at a 50% contribution level.. which I’ve never heard of before. Crazy that companies can offer that..

Ok now I want to know where you work at? And I thought 25% was great.

 

[motorcy90]

Do you both feel $ wise that you're underpaid?

Nope, we actually even have some of the highest wages in the area for our industry.

 

[CascadeClone]

Just want to add that my employer is at a 50% contribution level.. which I’ve never heard of before. Crazy that companies can offer that..

50% of your salary (unheard of), or 50% of your contributions (standard practice)?

Just making sure we are all talking apples to apples...

 

[cstrunk]

Ooooh, y'all were talking about 25% or 50% of the employee's contribution? I thought y'all meant salary.

 

[motorcy90]

Ooooh, y'all were talking about 25% or 50% of the employee's contribution? I thought y'all meant salary.

No I get 25% of salary into retirement, company offers 401k alongside that, but doesn't match anything there.

 

[ISUConE]

No I get 25% of salary into retirement, company offers 401k alongside that, but doesn't match anything there.

Is this more of a deferred compensation plan?

 

[Clark]

Is this more of a deferred compensation plan?

Sounds a lot like a SEP

 

[JP4CY]

Sounds a lot like a SEP

That's what I was thinking.

 

[Cyched]

40,000!

 

[cycloneG]

40,000!

 

[Cyched]

 

[coolerifyoudid]

Anyone get in on FFIE this week?