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Retirement Calculator

Q: Should I always get the full employer match?

If your employer matches your 401(k) contributions, that is free money and an instant return on what you put in. Contributing at least enough to get the full match is close to a rule for most people, ahead of almost any other savings goal.

Starting with $25,000, adding $500 a month with a $250 employer match, at 7% for 30 years, you'd reach about $1,117,891. Of that, $180,000 is your own money, $90,000 is the match, and the rest is growth. Enter your balance, monthly contribution and the match below. The match is the closest thing to free money most people get.

Retirement Balance

$1,117,891

at retirement, in 30 years

Saved so far

You add each month

Employer adds each month

$250

Years to retirement

Your contributions$180,000

Employer match+$90,000

Growth+$822,891

Balance$1,117,891

Take the match, then let time work

If your job matches your 401(k), that match is an immediate return on your own contribution, and turning it down is leaving pay on the table. So the first rule is simple: put in at least enough to get the whole match. After that, the biggest lever is time, not the amount. The same $500 a month started ten years earlier ends up far larger, because those early contributions compound the longest. The growth line in the breakdown usually ends up bigger than everything you and your employer put in combined.

Assumes a steady 7% average return and monthly compounding. Real returns swing year to year. Not financial advice.

Common questions

Should I always get the full employer match?

Almost always. The match is free money and an instant return on your contribution, so getting the full match usually comes before other savings goals.

Retirement Calculator

Take the match, then let time work

Common questions

Should I always get the full employer match?

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