Benefits & 401(k)
Benefits can represent a meaningful part of compensation, but the details are easy to ignore until enrollment, a job change, or an unexpected event forces a decision.
List the benefits that actually apply to you
Start with health insurance, retirement plans, employer matching, paid leave, disability coverage, life insurance, flexible or health savings accounts, and any other benefits your employer offers.
Understand the 401(k) basics separately
Know your own contribution rate, whether the employer offers a match, the match formula, vesting rules, investment options, fees, and whether your plan offers traditional, Roth, or other contribution choices.
Know the current contribution limit
For 2026, the IRS employee elective-deferral limit for most 401(k) plans is $24,500. Additional catch-up contribution rules can apply to eligible older participants. Your own plan may impose additional restrictions.
Employer match and your money are not the same thing
Your own salary deferrals and employer contributions can be subject to different rules. In particular, employer contributions may be subject to a vesting schedule depending on the plan.
A job change creates new decisions
Leaving an employer can raise questions about an old 401(k), outstanding plan loans, health insurance, unused accounts, and other benefits. Avoid making a rushed retirement-account decision only because the job ended.
Use the plan documents
Employer plans differ. For decisions involving your specific account, check the plan documents and official provider information rather than relying only on general articles.