Company Match in Investment Plans at Work

Back to my semi-Saturday series of “investing fro complete and utter idiots (and dummies too)” which is my tongue-in-cheek attempt to understand the super-complex world of investment and then explain it to others like me who have no background in the subject.  I’m going to go ultra-basic today, and tackle the idea of a company match in your investment plan at work.

First up, I don’t have any investment plan at my work.  LOL It would be sweet if I did, but the boss lets us students do homework on the clock when business is slow, so I guess I can’t complain.  I did mention a 401(k) or SEPP-type plan to my boss, and he got a deer in the headlights look on his face.  I guess that isn’t a common question to hear from a minimum wage employee.

Now, if y’all have an investing plan at work, especially one that offers matching funds: GO FOR IT!  Unless it is the difference between your budget being in the black or in the red, take full advantage of it!

It really doesn’t matter if your company’s 401(k) is in a good or bad plan if you stop and think about it.  Your company is offering to match your contribution and automatically give you an immediate return on your money.  The sweetest matching plan is 100% up to a certain percentage of your contribution, and that is automatically doubling your investment money.