I am hearing contrary information that some business units within IBM are getting 3% company match and some business units are getting 6% company match for 401k? What is the truth? What is real 401k company percent match people are getting in different bands and different teams?Please share what you got last year as 401k percentage (3% or 6%) for company match?And anyone has information what IBM are going to give as 401k match on 15th dec 2019?
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Nobody mentioned the fact that you get NO match in your first year of employment and many don't last long after that. They year end match is a real bummer especially in years where the market goes up 30% during the year or you get RA'd before November 15th.
The move to matching only at the end of the year started in 2012 I believe. Real "innovative" HR tactics that the head of HR bragged about at the time.
This change has been damning on moral. It was a blatant showing of not caring about employees - especially those most exposed, the RAed employees late in the year.
The move saves IBM lots retirement funding dollars. Both from the non-matches of RAed staff and the use of money that was is now held for their use for an average of 6 months.
They show "Retirement" savings as one of the non-GAAP bridge elements in the earnings report. Sadly - it seems RAs are directly used to manipulate the quarterlies. Without the Retirement savings non-GAAP contribution the headlines each quarter would have been very different. If RAs came to a complete stop - there goes this key contributor to earnings and the YTY compare would look very bad. So basically, it seems IBM is addicted to RAs to keep up the earnings headlines.
I decided to quit in June but because of their end-of-year 401K match policy, I waited until January while essentially doing nothing for 7 months. They certainly did not save any money on me with that policy.
Close the centers and bring back the 5 + 1 % match.
If you are in GTS, the 401k is 2% match with 1% automatic contribution. The Rah-rah speach about it matching what peer organizations that do IT outsourcing may be technically true but prior to being outsourced most of those employees were probably getting 5-6% since that's what most tech companies provide.
IBM actually has one of the best 401(k) plans available, at least in the States. Check this out:
https://www.brightscope.com/financial-planning/advice/article/27500/Ibm-401K-Plan-Still-The-Largest-And-One-Of-The-Best/
You can see all the choices we can choose from here (click "All Funds"):
http://www.myplaniq.com/LTISystem/f401k_view.action?ID=66981
Seriously, IBM has some lousy benefits in some areas but their 401(k) is still pretty rad.
IBM Systems in the US is definitely 5% match with 1% automatic contribution. The match hits end-of-year, however, which is kind of lame. The good thing is it vests immediately, not all tech companies do that.
The percent varies, the 6% match is applicable to 'most folks' but not all. Other posters below have additional details.
@zqy is right, plus the OP may also be confusing folks who were pre 1/1/2005 and later - different start dates, different divisions get different matches.
If you get the 6% match, coupled with the really good investment options, the IBM 401k is actually pretty good - except for year-end payout s—age.
The ghetto centers for GTS have never been considered dedicated IBM locations.
It's well known if you want to have a serious career with IBM you have to get out of GTS.
However, good luck getting your manager to approve a transfer out of the darkness.
Read the fine print on the 401k summary document. Certain unlucky classes of IBM employees (i.e. most of those who work in GTS among others) get only a 3% match. The 6% match is NOT universal across all IBM.
IBM s—s - they will do things as cheaply as possible and screw over employees !
IBM currently matches at least 6 percent of an employee’s pay.
https://www.ibm.com/us-en/employment/benefits/index.html
check for yourself