One important component of a benefits package that candidates don’t always take fully into account is what type of retirement program(s) a firm offers to prospective employees. A good retirement benefit can add thousands of dollars to annual compensation, as well as tax advantages.
Some good points to consider about an organization’s retirement benefits include:
- Is there a 401(k) plan and does the employer match employee contributions? Are there non-matching contributions as well?
- When do your matched funds vest? After five years? Is it incremental?
- Does the insurance plan(s) offered allow you to contribute to a Health Savings Plan (HAS), which can add to retirement savings and provide potential tax breaks?