Who's reinstating the 401(k) match — and who will soon?
The latest sign employers are optimistic about the year ahead: the return of the 401(k) match.
According to a recent Fidelity Investments survey, 27% of companies that suspended their 401(k) matches during the worst of the recession have reinstated the match — or plan to by the end of 2010.
And that number almost doubles when it comes to companies with larger 401(k) plans. For example, 44% of companies with over 5,000 participants planned to reinstate the 401(k) match.
Another interesting finding in the study: The speed in which companies are restoring their 401(k) matches is similar to the match reinstatement following the U.S. recession back in 2001 — a recession that lasted eight months.
Of course, the number of companies that have suspended their 401(k) match is relatively small. Of the 17,000 companies that Fidelity manages, only 8% suspended — or reduced — their 401(k) matches during the recession.
Do these findings seem consistent with what your company is doing? Let us know in the Comments Section.
- Share on
Free Training & Resources
Webinars
Provided by Yooz
White Papers
Provided by Anaplan
Further Reading
Some of your year-end health plan responsibilities have lifted, thanks to eleventh-hour legislation from Congress. Plan sponsors that me...
Employer health insurance plan costs are set to spike for next year. All the experts are in agreement on that point. The only question is j...
The Department of Labor (DOL) is once again taking a neutral stance on offering a certain investment option to retirement plan participants...
While the IRS can assess penalties under the Affordable Care Act (ACA), it can’t issue the certifications required beforehand, a court ha...
Reassessing HSA employer contributions can increase participation while capturing meaningful payroll tax savings. Employer contributions to...
If your company’s employees are like most, they’d score a big fat F on a financial literacy test. Every year, the Teachers ...
