An amount of money contributed to your 401(k) account each pay period by your employer. Also called the “employer match” or “company match,” it is offered by many companies as an incentive for employees to participate in a retirement plan. You have to contribute your own money to get the match.
Most commonly, employers will match part or all of your contribution, up to a maximum percentage of your salary (usually 6%). Matching contributions may vest over time, meaning they don’t belong to you until after a specific period.
