Calculator Inputs
Enter your current plan-year contribution limits because those values can change over time.
Example Data Table
| Scenario | Eligible Pay | Employee Deferral | Match Formula | Gross Match | Effective Match % | Benchmark Result |
|---|---|---|---|---|---|---|
| Standard Plan | $90,000 | 6% | 100% on first 3% + 50% on next 2% | $3,600 | 4.00% | Strong |
| Basic Plan | $70,000 | 4% | 50% on first 4% | $1,400 | 2.00% | Below Market |
| Enhanced Plan | $120,000 | 8% | 100% on first 4% + 50% on next 4% | $7,200 | 6.00% | Leading |
Formula Used
Eligible Compensation = Base Salary + Included Bonus
Desired Employee Contribution = (Eligible Compensation × Deferral %) + Extra Flat Contribution
Actual Employee Contribution = Minimum of Desired Contribution, Plan-Year Deferral Limit, and Eligible Compensation
Tier 1 Match = Eligible Compensation × Matched Tier 1 Deferral % × Tier 1 Match Rate
Tier 2 Match = Eligible Compensation × Matched Tier 2 Deferral % × Tier 2 Match Rate
Gross Employer Match = Tier 1 Match + Tier 2 Match, limited by any employer cap
Vested Match = Gross Employer Match × Vesting %
Effective Employer Match % = Gross Employer Match ÷ Eligible Compensation × 100
Combined Savings Rate = (Employee Contribution + Employer Match) ÷ Eligible Compensation × 100
Benchmark Gap = Actual Employer Match − (Eligible Compensation × Benchmark %)
Projected Balance applies annual contributions first, then annual growth for the selected number of years.
How to Use This Calculator
- Enter base salary and any annual bonus.
- Choose whether bonus pay should count for matching.
- Enter employee age, deferral percentage, and any extra flat contribution.
- Input the employer’s tiered match design and any employer match cap.
- Set the current vesting percentage to separate gross and vested value.
- Enter your benchmark target and strong benchmark percentages.
- Provide projection assumptions for salary growth and investment return.
- Enter the current plan-year employee deferral limit and catch-up limit.
- Press Benchmark Match to see results above the form.
- Use the CSV and PDF buttons to export the result summary.
Frequently Asked Questions
1) What does benchmark mean here?
Benchmark means the employer match level you want to compare against. It can represent your market target, industry midpoint, internal policy goal, or a custom competitive standard.
2) Why does the calculator show both gross and vested match?
Gross match shows the full employer contribution earned this year. Vested match adjusts that amount for your current vesting percentage, which helps estimate the portion you would keep today.
3) What is effective employer match percentage?
It is the employer’s annual match divided by eligible compensation. This makes different plan designs easier to compare on a common percentage-of-pay basis.
4) Why is there a lost match opportunity result?
It estimates how much match is left unclaimed when the employee contribution rate does not reach the full matched threshold under the plan formula.
5) Can I include bonus pay in the match calculation?
Yes. Some plans match bonus compensation and others do not. This option lets you test both approaches without changing the rest of the plan design.
6) Why do I need to enter contribution limits manually?
Annual contribution limits can change. Manual entry keeps the calculator flexible for different plan years, policy updates, and what-if comparisons.
7) What does employer leverage measure?
Employer leverage shows employer match as a percentage of the employee contribution. It helps illustrate how much company funding each employee dollar attracts.
8) How should I interpret the projection chart?
The chart compares projected balances with and without employer match over time. The gap between the lines shows the long-term value of the match design.