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Chapter 2. The Rules: Understanding Your... > Common Features of 401(k) Plans - Pg. 19

The Rules: Understanding Your 401(k) You might be wondering how your company's match compares with other 401(k) plans. The most common match is 50¢ on the dollar, up to 6 percent of pay. This 3 percent match rate (50 percent of 6 percent = 3 percent) is found in almost 35 percent of 401(k) plans. But don't sell your company short if it has a low match or no match. Before you form your opinion, you should find out what other retirement benefits your company offers, such as pension plans, profit-sharing plans, and ESOP. Factor in other things, such as retiree medical and stock options, as well. 19 Vesting In the movie Jerry Maguire, Cuba Gooding Jr., as the star football player, shouted, "Show me the money!" Your version of that famous line should be, "When do I own the money?" Answer: You get to keep 100 percent of the money when you are 100 percent vested. Our Advice Beginning in 2002, employers must meet certain minimum vesting requirements. If your employer is affected by this change, he has two choices: to vest your entire account balance after three years of service or to vest 20 percent per year beginning in year two, with full vesting at six years. Be on the lookout--more money may