The contributions of our Profit Sharing plan are uncapped, which means that the potential is limitless. Most companies will match your contributions up to a certain amount (if they have a match at all). So if you’re putting 7% of your income into your 401(k), a match may only be capped at 3%. Our Profit Sharing plan has the potential to contribute 6%, 7% or more!
Plus, unlike a match, Profit Sharing does not rely on you to make contributions. Profit Sharing contributions help fund your account whether or not you contribute yourself. Of course, the best way to fund your retirement account is to also make your own weekly contributions. For more information on how to make a 401(k) work for you, visit www.principal.com.
