Understanding Pension Growth
Your pension grows through three sources: your contributions, employer matching, and investment returns. The combination of these three creates powerful compound growth. Employer matching is essentially free money — always contribute enough to maximize it.
The Power of Employer Matching
A 50% employer match means for every $1 you contribute, your employer adds $0.50. On a $400/month contribution, that's an extra $200/month — $2,400/year in free money. Over 25 years at 7% return, employer matching can add $200,000+ to your pension.