Lowered Company 401(k) Matching: A Sign of the Coming Apocalypse?
My husband received an email from his employer today announcing “changes to your 401(k) plan.”
Basically, they are lowering the company match from 5% to 4%, and investing the money on a yearly basis instead of on a per-paycheck basis (i.e., the 2009 company match won’t get put in his account until 2010).
Layoffs are looming at his large company, and I’m wondering: By switching from a bi-weekly to a yearly company match, does this mean that they won’t have to pay out the company match for anyone they lay off during the year?
If so, that’s crap.
If not, it’s still crap, but I guess 4% is better than nothing.
Now let’s just hope he survives the latest layoffs.
