How much do employers contribute to a 401(k)?

“About 85% of the employers we work with offer some sort of matching contribution,” said Taylor. “The average employer contribution dollar amount into 401 (k)s in 2019 was $4,100, which equates to a little bit more than $1,000 per quarter.” Some 401 (k) plans vest employer contributions over the course of several years.

What is the average employer 401(k) match?

The average employer 401 (k) match reached 4.7% this year, according to Fidelity, which manages more than 30 million retirement accounts. That’s a record high, the company tells CNBC Make It. Prior to 2011, the average employer match was usually in the 3% to low 4% range, but has been slowly increasing each quarter in the years since.

How much money should I put in my 401(k)?

Generally, companies use a formula like putting in 50 cents or $1 for every dollar you do, up to a certain percentage of your salary. If your employer offers a 401 (k) match, it's a smart idea to prioritize saving at least enough in your 401 (k) to get that full amount. Pay attention to vesting requirements.