Most people struggle with the challenge ofasking for a raise.
Heres the secret:Its the corporate match on your 401(k) plan.
Remind me: Whats a 401(k)?
There aretwo types of 401(k) plans:traditionalandRoth.
They each have their advantages.
The traditional 401(k) allows you to invest pre-tax money.
Probably not as good as youd like.
It always seems like an uphill battle to build (and keep) a decent amount in savings.
But what if your car breaks down, or you have a sudden medical bill?
The Roth 401(k) plan is different.
If youre a full-time employee in America, you likely have access to a plan, according to aU.S.
Check with your HR department to find out whether your employer offers a plan.
The most common matchis 50 cents on the dollar up to the first 6% you contribute.
Your employer will match 50% of your contribution, or $30 every week.
How do you get this corporate match?
You want to secure the entire corporate match, if you’ve got the option to.
Free Money (Really!)
Its really a no-brainer.
Ideally, aim for 10% to 15% of your salary.
So start now, and get your free 3% raise.
What are you waiting for?
Your Turn: Does your company offer a 401(k) plan?
Do you contribute to it?
David L. Wright is a retired CFO.
It sounds appealing right?
Check it out here!
