I’ve worked at WF for a few years but was not bonus eligible until this year. Assuming I survive until December, should I expect to get a 6% match on the bonus I’ll receive with my Feb. 5th pay check.
For example, if I earn $50K with a $10k bonus, do I get a 6% match on $50K or $60K?
Changing the match to end of year versus quarterly will s— for those who get laid off this year. I initially thought if i boosted my early in the year contributions to ensure the maximum match, I'd still get the match even if I'm canned at some point after i max out my contribution, but on second reading, I realize that not only does the match not happen until the end of year, but to qualify for any 2021 match, you must be employed on December 15 of that year. Boo.
OMG, You would think that since this is a bank you work at that you would know how WF's 401k works by now. No wonder they are canning so many.
Beginning this year, 401k contributions are not matched until the end of the year. Additionally, they match only up to 6% of certified compensation. Certified compensation includes your salary and bonus. I say UP TO 6% because if you only elect to defer 4% of your compensation to your 401k, you will only be matched 4%. If you elect to contribute 5% of your compensation to your 401k, you will only be matched 5%. If you elect to contribute anywhere higher than 6%, you will only be matched UP TO 6% (for example, if you elect to defer 10% of your compensation to your 401k, you will only get matched with the first 6%. So yes, your bonus amount counts towards your 401lk match. Let's say you make 50,000 in salary and 10,000 in bonus, and you contribute 20% of your earnings, you will contribute personally 12,000. However, the company, at year-end, will only contribute 3,600 (6% of your total 60,000 certified compensation). Therefore, your total 401k contribution between you and the company will be 15,600.
Not sure why people are writing long replies here. Anyway, in your example you'll get 6% on 60k.
The match is dollar for dollar, up to 6%; whatever amount you have set to withhold from your feb 5 paycheck will come out; but your total deduction by year end cumulatively is what is matched.
So if you make $100,000 and set aside 6% ($6,000) Wells Fargo would match that and contribute an additional $6,000 a year end. You will not see any match at the time of the bonus.
You can of course elect more than 6% of your pay to be deducted into your 401k, but additional is not eligible for matching.
If you have your 401k deductions set at 6%, then 6% of your bonus will be put into your 401k, just like any other paycheck, and Wells will match that 6%.
Oh dear, more bad information
WF matches your contribution dollar for dollar up to 6% of your total compensation
If you make 100k, and you contribute 6k which is 6%, WF will also contribute 6k. If you contribute 9k, you still get 6k from WF because that’s the max, 6% of your total comp, not 6% of what you contribute.
You don’t get the match until Dec 31, so we all lose the compounding potential gains on those dollars over the course of the year.
they changed the matching to at year-end, it would be against total compensation put in, so if you put in 20k, the match would be $1,200 for the year.
Wells matches on total compensation, so they will match your bonus amount as well as salary. Ig you're contributing more than 6% of your salary they may match your bonus without you contributing any of your bonus to your 401k.
Yes. 401k is withheld from bonus too