RESEARCH |
2018
PLANADVISER Micro Plan Survey
Reported by PLANADVISER
| Art by Claire Merchlinsky
Industry Data
Company Match
Company Match
Matching Contribution Offered
| All Micro | <$1MM | $1MM–$5MM | |
|---|---|---|---|
| Yes | 68% | 63% | 70% |
| No | 30% | 34% | 29% |
| Unsure/Don’t know | 2% | 3% | 1% |
‘True-Up’10 Provision for Matching Contributions
| All Micro | <$1MM | $1MM–$5MM | |
|---|---|---|---|
| Yes | 21% | 20% | 21% |
| No | 46% | 30% | 51% |
| Unsure/Don’t know | 33% | 47% | 28% |
| 10A true-up match may be used to restore matching contributions “lost” when an employee reaches the annual contribution limit prior to year-end. | |||
| Participants Maximizing Match | |||
|---|---|---|---|
| All Micro | <$1MM | $1MM–$5MM | |
| All or nearly all participants (>90%) | 32% | 37% | 31% |
| Vast majority (>75% – 90%) | 22% | 20% | 23% |
| More than average (>50% – 75%) | 16% | 15% | 17% |
| Less than average (>25% – 50%) | 14% | 11% | 15% |
| A minority (10% – 25%) | 6% | 6% | 6% |
| Very few (<10%) | 8% | 10% | 7% |
Frequency of Matching Contributions
| All Micro | <$1MM | $1MM–$5MM | |
|---|---|---|---|
| Annually | 16% | 17% | 16% |
| Quarterly | 2% | 3% | 2% |
| Monthly (non-pay-period) | 4% | 5% | 3% |
| Twice monthly (non-pay-period) | 4% | 3% | 4% |
| Biweekly (non-pay-period) | 5% | 4% | 5% |
| Per pay period | 68% | 66% | 68% |
| Other | 2% | 3% | 2% |
When Participants Are 100% Vested
| All Micro | <$1MM | $1MM–$5MM | |
|---|---|---|---|
| Immediately on enrollment | 38% | 49% | 35% |
| After ≤1 year | 4% | 5% | 3% |
| After 2 years | 2% | 2% | 2% |
| After 3 years | 8% | 6% | 8% |
| After 4 years | 3% | 3% | 3% |
| After 5 years | 22% | 16% | 24% |
| After >5 years | 23% | 20% | 24% |
Approximate Maximum Match
| All Micro | <$1MM | $1MM–$5MM | |
|---|---|---|---|
| >100% of first 6% of salary | 7% | 9% | 8% |
| 100% of first 6% of salary | 13% | 11% | 11% |
| 51% – 99% of first 6% of salary | 34% | 38% | 33% |
| 50% of first 6% of salary | 21% | 17% | 22% |
| >50% of first 6% of salary | 19% | 18% | 19% |
| Other | 7% | 7% | 7% |