You can listen to this analysis of the recently negotiatied 401k benefit in the new UAW/GM national agreement. This benefit is a 10% company contribution. This contribution does not require any contribution from a member. How rare is this? Is it good compared to plans offered by other companies? The answer can be found in UAW agreement strengthens retirement security…
In terms of the specific question about the 10% contribution to the 401(k), data from Vanguard suggest that the contribution is higher than that provided by most other employers.
First, it is unusual for a company to provide solely a nonmatching contribution — just 2% of plan participants received one in 2022 (see Table 1).
Second, for those employers offering only a nonmatching contribution, only 5% of participants were in plans that offered a contribution of 9% or more.
But overall, the 10% nonmatching contribution is definitely at the high end of plan providers.
(graphic via freepik.com)
