Friday, November 11, 2016

When Employers Match 401k Benefits

If you’re an employer, then you probably already know that you can choose to offer a 401(k) match to your employees. And, while you may think that this decision only helps them, ultimately, it ends up helping you too!   


Before we get into how matching 401(k) benefits can help you as an employer, though, let’s take a look at how it can help your employees. First of all, many of them are undoubtedly worried about retirement and having enough saved by the time they reach retirement age. They may very well have reason to worry too since, right now, studies show that the median retirement savings are far below what they should be. Thus, by choosing to match their 401(k) contributions, you can help to alleviate a large chunk of their worry.

So, how does all of this help you? Well, to start off with, the very best employees, who know they can get the very best in terms of benefits, probably aren’t going to be as willing to settle for an employer that doesn’t offer 401(k) matching, plain and simple, so by offering this nice “bonus,” you help to attract top-level employees to your business, which can only help it in the long run.

Furthermore, happy, well-taken care of employees tend to be more loyal, better-working employees, which also helps your business.

These aren’t the only benefits that you, as an employer, enjoy either. You can also, in most cases, take a nice tax deduction for the contributions you make to employees’ plans, and, by offering simple automatic enrollment, you can make the whole process easier for everyone involved.

If you’d like to help your employees and yourself, then learn more about offering 401(k) matching today; your employees will thank you, and you’ll be glad you made this all-around beneficial decision.

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