San Diego Housing Market News and Analysis
Christmas Arrived Early :)
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Submitted by Coronita on December 23, 2021 - 2:15am
Christmas unexpectedly arrived a few days earlier for me.
Back in July, my company announced that they were going to do an extra 401k match until the end of the year as a way of saying thanks to everyone.
However, overachiever savers like me were already done with our maximum 401k match back in June, because i typically frontload my 401k match for the first half of the year so the second half I can have a bigger take home check for the summer and winter holidays.
I asked if people like me would receive the extra 401k match, they said no. HR said the payroll system isn't intelligent enough, and can't make a 401k match contribution into a pay period if the employee didn't make a 401k contribution into that pay period. So essentially, for the rest of the year I wasn't going to get the extra 401k match.
I made a big stink about this because at any other employer, it doesn't matter how/when you make your 401k contributions, if you made the maximum contributions to qualify for the entire year's match, you got the match even for the pay periods you weren't contributing anything to...I mentioned that this unfairly punishes overachieving savers, and it's a wrong message to send to people just starting out.
Well, it apparently went to the CFO who agreed with me. My company calculated how much I was eligible to get with the extra match for the rest of the year, and they offered to give me a lump sum "incentive" bonus paid at the last pay period of this year. It would be a lump sum that is taxable though. Something is better than nothing, so I took the offer.
Well, today I got the lump sum amount as an extra bonus for the missed extra 401k match
...But while I was looking at the paystub (which I rarely look at), I noticed another thing...Since July, the ADP system WAS giving me the matching 401k contribution even though I already maxed out. So HR is wrong.
I got all of my extra match since July and also got an "incentive" bonus for Christmas.
So I guess the old saying is true: squeaky wheel gets the oil..and sometimes a little more...lol... It's not my job to correct HR and explain to them how our payroll system works...Not my problem, heh heh.
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