So, times are tough in the tech world and my company decided that in addition to no bonuses/ stocks for the foreseeable future, they also want to stop matching our 401k contributions.
They say this is temporary, but it’s already been 6 months. I’m in my early 30s, so I still have quite some time before retiring. These small differences now will compound in the long run, and I’m starting to think I should look for a new job.
Does my view of these small missed contributions actually being a big deal make sense, or is it something I should wait out?
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I’d start looking just to see what options are out there even if you don’t end up deciding to leave. You could start investing the amount that you’re missing from the match so that you don’t miss out on compounding growth, but it’s certainly a pay cut however you look at it and if it’s already been 6 months I don’t trust that it’ll be temporary.
Just my 2 cents here, but no more bonus + stocks + 401K matching?? That seems like a pretty huge hit for you. If it were me, I’d probably be looking for other offers… you can’t simply wait for your company to get its shit together.
Also regarding 401K, every bit of contribution matching helps especially since you are still young and in your 30s. So those small missed contributions definitely add up 30 years down the road.
Bonuses are discretionary. Stock is questionable, especially if it is not immediately 100 percent vested, 401k tells me they are completely out of money and can’t / won’t source additional funding.
In tech, you should always be looking at the next job, even if you are comfortable where you are. Loving what you do, who you work with, work life balance can all offset certain amounts of money, but knowledge and experience is either always growing or growing stale. I’m guessing at early 30s, you are not in an exec position and changing companies with lead to faster career growth than sticking around for the company to turn around it’s books and promote you.
