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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Amy J who wrote (178469)	6/30/2004 3:43:26 PM
From: Elmer Phud	Read Replies (2) \| Respond to of 186894

Amy - You're lucky Intel even matches a portion of your contribution. Intel does not match employee contributions. Intel makes a contribution each year based on profitability. It is not based on employee participation.

To: Amy J who wrote (178469)	6/30/2004 3:47:09 PM
From: Tenchusatsu	Read Replies (1) \| Respond to of 186894

Amy, You're lucky Intel even matches a portion of your contribution. You didn't get my drift. As far as I know, Intel's contributions aren't matching, not entirely nor even a portion. It seems to be based on my salary, rather than my contributions. In other words, I could stop contributing and Intel would still be putting money into my retirement plan. Also it seems to be funny money, since I can't allocate it to any of the mutual funds that I could allocate my contributions to. One of these days, I'll find out more, but it's obviously not a big priority, since I don't control any of it and I won't see any of that money until I'm at least twice my current age. Tenchusatsu

To: Amy J who wrote (178469)	6/30/2004 7:11:19 PM
From: brushwud	Read Replies (1) \| Respond to of 186894

At small to mid-size businesses, matching is not commonly done, though I believe it should be done since it's a way of giving an employee more money due to tax deferred treatment. An officer at a place where I used to work said if there was X% more money to distribute among his employees, he would always want to be able to do that based on merit. This would probably be even more of a priority at a small company. If employees want tax-deferral, they can elect that themselves. The reason bigger companies have a 401(k) match is to encourage greater employee participation to get around the rules in place to make sure the plans aren't only oriented toward highly-compensated employees. For example, a millionaire sweatshop owner could fund his own retirement plan and pay everyone else minimum wage so they couldn't afford to participate. When there isn't enough participation, those rules put caps on contributions.