Salary Negotiation: Before accepting any offer or raise, see our complete Salary Negotiation Guide for scripts, timing strategy, and non-cash alternatives.
If you forgot to enroll in your 401(k), contact HR today — you may be able to sign up immediately. Every pay period without enrollment is lost employer matching contributions you can never get back.
What to Do Right Now
| Step | Action |
|---|---|
| 1 | Log into your benefits portal or contact HR |
| 2 | Check if enrollment is open now |
| 3 | Enroll and set your contribution rate (at least enough to get full match) |
| 4 | Choose your investments (target-date fund if unsure) |
| 5 | Check if auto-enrollment already signed you up |
The Real Cost of Delayed Enrollment
| Years Missed | Salary $50,000 | Salary $75,000 | Salary $100,000 |
|---|---|---|---|
| 1 year | $1,500 match + growth | $2,250 match + growth | $3,000 match + growth |
| 3 years | $4,500+ | $6,750+ | $9,000+ |
| 5 years | $7,500+ | $11,250+ | $15,000+ |
| 10 years | $15,000+ | $22,500+ | $30,000+ |
Based on 50% match on first 6% of salary. Doesn’t include investment returns on the match, which would make the loss significantly larger.
How Much to Contribute
| Priority | Contribution Level |
|---|---|
| Minimum: get full employer match | Usually 3-6% of salary |
| Good target | 10-15% of salary (including match) |
| Aggressive catch-up | Max out at $23,500 ($31,000 if 50+) |
Common Employer Match Formulas
| Match Formula | Your 6% Contribution ($75K Salary) | Free Money |
|---|---|---|
| 100% match on first 3% | $4,500 + $2,250 match | $2,250/year |
| 50% match on first 6% | $4,500 + $2,250 match | $2,250/year |
| Dollar-for-dollar on first 6% | $4,500 + $4,500 match | $4,500/year |
| 25% match on first 6% | $4,500 + $1,125 match | $1,125/year |
Investment Options If You’re Not Sure What to Pick
| Option | Best For | Why |
|---|---|---|
| Target-date fund matching your retirement year | Most people | Automatically adjusts allocation as you age |
| S&P 500 index fund | Comfortable with all-stock | Lowest fees, broad diversification |
| Balanced fund (60/40) | Moderate risk tolerance | Mix of stocks and bonds |
| Default investment (if auto-enrolled) | Not sure | Plan’s default is usually a target-date fund |
The Bottom Line
Enroll today — even one pay period of missed employer match is money you can never get back. Set your contribution rate to at least capture the full match (usually 3-6% of salary). If you’ve missed years, contribute as aggressively as you can afford. A target-date fund is a perfectly good “set and forget” investment choice if you’re not sure what to pick.
Related: I Forgot to Sign Up for Benefits | I Missed Open Enrollment
Sources
- U.S. Bureau of Labor Statistics. “Occupational Employment and Wage Statistics, May 2024.” bls.gov/oes
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