Retirement Match Value Calculator

An employer retirement match is one of the best deals in personal finance: free money added to your account just for saving. Yet many people miss part of it, or lose it by leaving before it vests. This calculator shows what your match is worth, how much you might be missing, and what's at stake if you change jobs.

What this calculator does

Enter your salary, your employer's match formula, how much you contribute, the vesting schedule, how long you expect to stay, years until retirement and an investment return. It shows:

• your employer match per year,
• the match you're missing by contributing less than the cap,
• how much of the match is vested when you plan to leave,
• the match you'd forfeit if you leave then, and
• what one year's match could grow to by retirement.

The formula in plain English

Match = salary × the smaller of (your contribution %, the match cap %) × the match rate.

Missing match = the full match at the cap − the match you're getting.

Vested share depends on the schedule:

• Immediate: 100% from day one.
• 3-year cliff: 0% until 3 years, then 100%.
• 6-year graded: 20% after 2 years, rising 20% a year to 100% at 6 years.

Forfeited = yearly match × years stayed × (1 − vested share).

One year's match at retirement = yearly match × (1 + return) raised to the years until retirement.

A worked example

Jordan earns $120,000. The employer matches 100% of contributions up to 4% of pay, and Jordan contributes 3%. Matching vests on a 6-year graded schedule, and Jordan expects to stay 3 years.

• Match: $120,000 × 3% = $3,600 a year.
• Missing: $1,200 a year, by contributing 3% instead of 4%.
• Vested after 3 years: 40%.
• Forfeited if leaving at 3 years: about $6,480.
• One year's match grows to about $27,400 in 30 years at 7%.

Raising the contribution to 4% captures an extra $1,200 a year. And staying a little longer, or negotiating with a new employer to make up the forfeited match, protects thousands of dollars.

Why it matters at each career stage

If you're: Resident / fellow

If your program offers a match, contribute at least enough to get it, even if money is tight. It's often the best return available to you.

If you're: Employed

Check your plan's vesting schedule before you change jobs. If you're close to a vesting date, waiting a few weeks or months can be worth thousands. Ask new employers whether they'll make you whole for forfeited contributions.

If you're: Practice owner

As an owner, matching employees costs money but helps recruit and keep good staff. Safe harbor designs let owners contribute more for themselves while meeting testing rules.

Getting the most from your match

Contribute at least to the cap. Set your contribution percentage so you never miss match dollars.

Watch "true-up" rules. If you max out early in the year, some plans stop matching. Ask whether your plan has a year-end true-up.

Know your vesting date. It's on your plan documents or online account.

Look at all employer contributions. Some employers add a non-elective contribution or profit sharing on top of the match.

Roll over old accounts. When you leave, move vested money to your new plan or an IRA so it's easy to manage.

The match and total compensation

When comparing jobs, include the match in total compensation. A job that pays $5,000 less but matches 6% instead of 3% can come out ahead, especially once growth over decades is included.

Next, see your total compensation, project your 403(b) and compare job offers.