- State & Higher Education Employee Matching Contribution
- Local Government Employee Matching Information
For State and higher education employees, subject to annual appropriation the State may match employee contributions to the 401(k) plan. The amount of the appropriation is subject to change annually. Generally the match is applied to the salary deferrals made through the employees' regular payroll contributions.
The match amount historically has been appropriated based on 100% of the employee salary deferral up to a specific monthly limit. Employees may defer more salary than the amount that may be matched.
For the fiscal year ending June 30, 2014, State and higher education employees participating in the 401(k) plan are eligible for a state matching contribution of up to $50 per month. However, the funding of this match is subject to state appropriations each year.
The employer 401(k) match always is contributed pre tax. Even the match for an employee's designated ROTH (post tax) deferral is untaxed at the time of the contribution.