Quote:
Originally Posted by Thrif-t
I mean people who only make 20k-25K/yr aren't going to get anywhere putting 10% or 15% of their pay away without a substantial match.
|
Actually, putting 15% of your pay into a retirement plan works regardless of how much you earn. In fact, the lower income workers have an advantage because social security makes up a much larger percentage of their pre-retirement income than it does for higher income workers. Remember, there is a maximum cap on SS benefits regardless of how much you earned while working.
I agree with you, though, that all employers ought to match the contributions. I don't think it is necessary to steadily increase the match rate, though. Where would that extra money come from? And there would have to be some limit on the match or eventually it would reach 100%.