401(k) Employer Match Calculator

Use this calculator to estimate the value of employer matching contributions in a 401(k) plan.

What this calculator does

The 401(k) employer match calculator shows how much your employer may add to your retirement account. It also estimates missed match if your contribution is below the matching cap.

It uses:

• annual salary
• employee contribution percentage
• employer match percentage
• employer match cap

401(k) Employer Match Formula

Employer Match = Salary × Eligible Employee % × Match %

Where:

• Eligible Employee % = lower of employee contribution and match cap
• Match % = employer match rate
• Salary = annual pay
• Missed Match = full match minus actual match

Example calculation

If:

• Salary = 100,000
• Employee contribution = 4%
• Employer match = 100%
• Match cap = 6%

Then:

• Eligible percentage = 4%
• Employer match = 100,000 × 4%
• Employer match = 4,000
• Missed match = 2,000

The annual employer match is 4,000.

What is 401(k) employer match?

Employer match is money your employer contributes to your 401(k) based on your own contributions. It is a major workplace retirement benefit.

Why employer match matters

• increases retirement savings without extra employee cash
• improves total compensation
• rewards consistent contributions
• can materially affect long-term growth

When to use this calculator

• deciding contribution percentage
• comparing job offers
• checking missed match value
• reviewing plan benefits

Common mistakes

• contributing below the match cap
• misunderstanding match percentage
• ignoring vesting schedules
• stopping contributions too early in the year

Employer match vs employee contribution

Employee contribution comes from salary deferral. Employer match is added by the employer based on plan rules.

Both grow in the account but have different sources.

FAQs

What is 401(k) employer match?

It is an employer contribution tied to how much you contribute.

How do you calculate employer match?

Multiply salary by the eligible contribution percentage and the match percentage.

What is a good employer match?

A common match is 50% to 100% on the first 3% to 6% of salary.

What is the difference between employer match and contribution?

Contribution is employee money. Match is employer money.