Presenting the employer match in tangible, easy-to-understand language can significantly improve how employees perceive and value the benefit. When the match is expressed as a simple dollar example rather than a percentage formula, employees can more clearly see the immediate financial advantage of participating. This clarity reduces confusion, makes the benefit feel more real and accessible, and reinforces the idea that the match is essentially “free money.” As a result, employees are more likely to enroll, increase contributions, and take full advantage of the retirement plan.
At the conclusion of a recent TPSU program held on the campus of Stonehill College, TPSU Founder and CEO Fred Barstein interviewed Marianne, the Chief Financial Officer of a 95-employee nonprofit organization. Marianne shared that she personally announces the company’s retirement plan match each quarter when it is funded. By communicating the match amount and encouraging employees to participate, she increases awareness of the benefit and prompts employees to ask how they can enroll to receive the employer contribution.
She noted that this simple, proactive communication approach has generated consistent engagement, with employees regularly reaching out after announcements to learn how to participate and take advantage of the match.
Marianne also highlighted an effective communication strategy discussed during the program: translating the match formula into clear dollar terms — for example, explaining that the company gives employees $10 for every $40 they contribute. Presenting the match in tangible, easy-to-understand language helps employees better recognize its value and can lead to increased participation.
Read the Full Transcript Here:
Fred Barstein:
Greetings. This is Fred Barstein, CEO and founder of TPSU. We just completed another program here on the campus of Stonehill College, south of Boston, and I’m here with Marianne. Welcome, Marianne.
Marianne:
Thank you so much.
Fred:
Okay if we ask you a few questions?
Marianne:
Absolutely.
Fred:
Before we do, tell us a little bit about yourself.
Marianne:
Well, you already know my name is Marianne. I work for a nonprofit. We have 95 employees, and I am the Chief Financial Officer.
Fred:
Very good. You talked about a unique way that you announce the match. What is it that you do, and what’s the effect of it?
Marianne:
The benefits at our company are administered by the HR department. However, for the match — because I have to authorize the payment as the Chief Financial Officer — I take the initiative to announce it to our employees. I let them know that we’ve made the match, how much we matched, and encourage them to participate in the plan so they can take advantage of the match themselves. We do this every time we make a match.
Fred:
What’s the effect of that?
Marianne:
It’s been very favorable. Usually every quarter when we announce the match — which is when we make it — I have at least one or two people approach me and ask how they can participate and receive the matching dollars.
Fred:
Another person in your group did something unique about how they position the match too.
Marianne:
Yes, it was very interesting and very effective. They convert the match percentage into dollars and give an example. So if they match a quarter of every amount contributed, they might say the company gives you a free $10 for every $40 you put in.
Fred:
Right.
Marianne:
That was also very effective in increasing participation in the plan.
Fred:
Final question: what are a couple of things you learned today, and would you recommend this program to other plan sponsors?
Marianne:
One of the things I absolutely loved about the presentation today was the interaction with my peers — hearing what’s going on at companies of similar size, as well as larger and smaller organizations. That was very interesting to me. I also really appreciated the professional expertise that was brought to bear. It was top-notch, and I’m very impressed. I would highly recommend it, and I’m looking forward to coming again in the spring.
Fred:
Very good. You’re always welcome, and thank you for coming.
Marianne:
Thank you.
Fred:
Thank you for your time today. And thank you for watching 401kTV. Stay tuned.
