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Alrik t1_iyd86yo wrote

Reply to comment by jsalley in Is 11% salary increase worth switching jobs? by [deleted]

You're right on the calculation for the match, but the employer match doesn't really impact your annual contribution limits.

For 2023, the employee themselves can contribute $22,500, and together with the employer's match/contribution, can put a total of $66,000 into their 401(k).

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OathOfFeanor t1_iydffx9 wrote

I don't think they were saying the employer match helps with hitting the limit.

Just that at six figures of income, you should ideally be able to afford $22.5k into the 401k plus $6.5k into the IRA

That is a pretty high savings rate for most people, though. Possible but a stretch for many.

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IratherNottell t1_iye69xs wrote

Holy cow, TIL I guess. I always thought contribution limits were inclusive of company match contributions.

Guess I need to read up!

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