401k 401k - Back in the old days, nobody had ever heard of a 401k. There were no 401k plans because everyone had their pensions funded by the companies where they worked. Alas, companies no longer fund pensions the way they used to do, and today people are responsible for their own retirement, which is probably done through 401k plans. Of course, 401k plans are often sponsored by a place of business, as a way to get employees involved in their own retirement programs. If you have a 401k that is subsidized by your place of work, you and the company that employs you will each contribute a percentage of your salary to the 401k plan. 401k plans are named after section 401k of the IRS tax code, which defined the 401k concept. Money taken out of a paycheck to fund a 401k plan is deducted before tax dollars are taken out. Employers may contribute a matching amount to the 401k fund of their employees, but they are not required by law to do so. There are excellent tax reasons to invest in 401k plans, so you may want to think about investing if you have not done so already. Quelle "401k" : General Main page for "401k"