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Frequently asked questions
Does employer match count towards the 401k limit?
No — employer match doesn't count toward your personal employee deferral limit ($24,500 for 2026). It does count toward the combined employee-plus-employer limit ($72,000 for 2026), which matters mainly for highly compensated employees at companies with a generous match. (Figures current as of July 2026.)
How does 401k matching work?
Your employer contributes additional money based on a formula tied to your own contributions — a common one is a 100% match on the first 3% of salary plus 50% on the next 2%. The match is usually subject to a vesting schedule (immediate, cliff, or graded over several years), so leaving too early can mean forfeiting part of it.