Calculate the free money from an employer's 401k match.
A matching contribution adds employer money up to a cap, often fifty percent of the first six percent you contribute. Investing at least up to the match cap captures this effectively free return. An employer match is an immediate guaranteed return on contributions, usually the best first step in any savings plan.
401k Match
Employer match = salary x min(you, cap) x match%
Employer match = salary x min(you, cap) x match% A matching contribution adds employer money up to a cap, often fifty percent of the first six percent you contribute. Investing at least up to the match cap captures this effectively free return.
An employer match is an immediate guaranteed return on contributions, usually the best first step in any savings plan.
This calculator takes 4 inputs: Salary, Your contribution, Employer match percent, Match cap percent. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.