Check my Logic
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HA.net Workout Krew
Joined: Mar 2002
Posts: 9,039
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From: In the gym
Check my Logic
So assuming a base salary of 100k...
"Employer will match 25% of contributing funds up to a max of 5% of the employees salary"
I interpret this as, employer will match 25% of the employee's contribution up to a maximum contribution of 5k (5%) a year.
So max matching "contribution" is 5k.
HOWEVER,
The way it's being explained is.. You will get a maxiumum employer contribution of 25% "OF" 5%.
so in this scenario - 1250 max contribution.
Your thoughts?
"Employer will match 25% of contributing funds up to a max of 5% of the employees salary"
I interpret this as, employer will match 25% of the employee's contribution up to a maximum contribution of 5k (5%) a year.
So max matching "contribution" is 5k.
HOWEVER,
The way it's being explained is.. You will get a maxiumum employer contribution of 25% "OF" 5%.
so in this scenario - 1250 max contribution.
Your thoughts?
Nobama
Joined: Sep 2004
Posts: 6,961
Likes: 0
From: Sarasota, Florida
Yes, if you put %5 in to your 401, then you put $5000, and of that they match with $1250, totaling $6250.
Anything over %5 is just tax free money.
Anything over %5 is just tax free money.
Last edited by BetterBob; Sep 14, 2009 at 03:16 PM.
Joined: Jun 2001
Posts: 58,579
Likes: 0
From: Lll
I had the same problem. My company contributes 50%, up to 5% of my salary. It is all in the writers interpretation of the language. At the end of the day, our view doesnt matter since we arent paying your contribution 
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