2018 DC SURVEY: PLAN BENCHMARKING Match Features Plans that provide a matching contribution of some sort are the norm rather than the exception these days: Almost 77% of all plans have a match, up from 74% in 2017. Micro plans are somewhat less likely to offer a match than are large plans, but the gap between the two is relatively small. More plans are offering " true-up " matches than in the past, which credit participant accounts at year-end to reconcile actual vs. expected match levels. This year also saw more plans report that they match Roth contributions and also " catch-up " contributions for participants ages 50 and older. Plans Offering Employer Match 76.7% 72.5% 77.0% 77.3% 83.7% Match Structure Once it is decided to offer a match, the next choice is not only how generous the match should be but how to structure it to incentivize maximum participant savings. The most common structure is a " traditional " match-a flat dollar-for-dollar up to a maximum participant contribution. Nearly as popular is a " stretch " match- where participants need to save more to get the same match rate. Tiered formulas are more complicated but also can be effective. Despite some changes in how matches are structured, match rates and vesting schedules remained stable. Match Strategy 10.1% l Traditional (e.g., 100% of first 3%) l Stretch (e.g., 50% of first 6%) l Tiered (e.g., 100% of 3%, plus 50% of next 2%) l Other type of formula All <$5mm $5mm - $50mm >$50mm - $200mm Plans With 'True-up' Match Provision l Yes l No l Don't know 19.7% 22.8% 38.3% 16.1% 42.0% <3% 3% >3% - 5% >6% 7.0% Other Plans Matching Nontraditional Contributions 93.0% 61.4% 100% Vesting in the Match Available l Immediately l In <2 years l In 3 - 5 years (cliff) l In 3 - 5 years (graded) l In >6 years (cliff) l In >6 years (graded) 0.8% 15.3% 38.6% 24.5% 9.5% Roth contributions Catch-up contributions 11.3% 22.1% >$200mm Match Rate 32.1% 31.4% 20.9% 37.6% 46 PLANSPONSOR.com October-November 2018http://www.plansponsordigital.com/plansponsor/october-november_2018/TrackLink.action?pageName=46&exitLink=http%3A%2F%2FPLANSPONSOR.com