Announcement in the morning. Strong rumors are 2.5 or better....
At some level, the escalation is a way to get people to increase their own contribution. I guess if someone deferred 3% the first year, they would get 1.5% match. Second year (at raise time), their contribution would automatically become 4% and their match is 2%. Third year, they defer 5% with a 2.5% match. Fourth year 6% with a 2.5% match.
Personally, I am all for this. In the old days, we took MIP in stock and were nearly forced to keep it there for the long term. Today, I am amazed when I give out MIP the % of people who take it all in cash. No savings at all. I'm worried about this younger generation.
Of course I understand that stock hasn't grown but by taking it in cash and spending it, it is worth zero tomorrow.
Oh well, I'm happy a match is back