Agency' provide an Automatic (1% without matching) and Matching Contributions can add up to five percent of basic pay.
I am not aware of any other private company that provides 1% into an equivalent 401(k) plan. Yes, this is used as a recruiting tool with regards to benefits. However, given our economic climate I would think the 1% automatic contribution could be, at a minimum, suspended for several years until such time as we reach financial stability. I'm not an economist so I could not define financial stability.
This recommendation is coming from a federal employee who is enjoying the benefits of FERS and the 1% automatic contribution.
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