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Key Takeaways
- Many employers offer 401(k) plans to their employees.
- However, quality varies: some plans are more generous, and some are less so.
- ConocoPhillips, Boeing, Amgen, Philip Morris, and Citigroup have some of the best plans available.
- It’s a good idea to take a look at the fine print to see what you’re getting when you enroll.
While many businesses now offer 401(k) plans for retirement, there’s a great deal of difference between the most and least generous among them. For example, some employers offer a generous employer match and even additional contributions based on salary. Others offer a better mix of investment options with lower fees.
To create this list, we reviewed publicly available benefits information, Summary Plan Descriptions (SPDs), and corporate disclosures for major U.S. employers. These are our picks for companies with the most generous overall retirement plans, based on employer match formulas, additional contributions, vesting rules, plan design, and investment options.
Here are five employers that currently offer some of the strongest 401(k) benefits.
1. ConocoPhillips (COP)
Why It Made Our List: It offers one of the richest employer-funded packages, including a 6% match, up to 6% more in discretionary contributions, and a separate 6% retirement contribution.
ConocoPhillips offers one of the most generous 401(k) structures available. Employees who contribute at least 1% of their eligible pay receive a 6% company match, plus a discretionary contribution of 0%–6% that varies based on factors such as company performance and market conditions. Participants are always 100% vested in their own contributions, the company match, and any discretionary contributions.
Employees also receive a separate 6% Company Retirement Contribution (CRC) each pay period, even if they do not contribute to the plan themselves. Participants become fully vested in the CRC after three years of service. ConocoPhillips’ investment menu includes a mix of stock, bond, and index funds, and enrollment in the plan is voluntary.
2. The Boeing Company (BA)
Why It Made Our List: Boeing matches 10% of employee contributions and uniquely boosts savings by matching student loan payments into the 401(k).
Boeing transitioned all non-union employees from a pension to a 401(k) retirement plan in 2016. With over $73 billion in assets, it is one of the largest plans in the country. The company matches 10% of the first 10% of employees’ contributions.
The company also has a student loan match program where the amount you pay towards your student loans will be matched by the company as an employer contribution towards your 401(k).
“The Boeing 401(k) Student Loan Match allows eligible enrolled U.S. employees to have their qualified student loan debt payments counted, along with any match-eligible contributions they make, for purposes of determining the Company Match to employees’ Boeing 401(k) accounts,” the website reads.
Boeing automatically enrolls employees in the plan, and there is a broad selection of stock, bond, and international index funds to choose from.
3. Amgen Inc. (AMGN)
Why It Made Our List: Amgen offers a rare 5% automatic core contribution plus a 5% match, providing employees with generous employer funding from day one.
Amgen is one of the more generous companies when it comes to employer contributions: it makes a 5% core contribution upfront, whether or not the employee makes a contribution to the plan.
In addition, the company matches employees’ contributions up to 5% of their salary.
Fast Fact
Amgen also offers an employee stock purchase plan.
Amgen’s funds include a broad mix of stock, bond, and international index funds. Employees are automatically enrolled in the core plan and are 100% vested after three years of eligible service. Employees are 100% vested immediately in all their contributions and company match contributions.
4. Philip Morris International Inc. (PM)
Why It Made Our List: Philip Morris adds up to 15% in additional employer contributions on top of its standard 5% match, offering one of the highest potential totals available.
You may have qualms about working for a tobacco company, but Philip Morris does provide incentives to reward and retain top talent. In addition to matching the first 5% of employee contributions, the company may add an additional 7% to 15% of eligible compensation, depending on an annual business rating.
There are no bond funds to select, but a broad range of stock and international index funds are available. Eligible employees are automatically enrolled and are 100% vested immediately.
5. Citigroup Inc. (C)
Why It Made Our List: Citigroup contributes up to 8% with immediate vesting and automatic enrollment, giving long-term savers a substantial employer-funded boost.
This banking giant matches 100% of an employee’s first 6% of contributions. There’s an additional 1% for employees who’ve completed more than one year at Citigroup and 2% for employees with two or more years. Still, it’s important to note that Citigroup makes its contributions in a lump sum at or after year-end, rather than at the same regular intervals as employee contributions. Fund options include stock and international index funds—no bond funds are available. Enrollment is automatic, and employees are fully vested immediately.
What Happened to Pensions?
Today’s workers—unless they’ve been in the workforce for a very long time with the same employer or work in certain public sector or union organizations—will never know what a retirement pension, or defined benefits plan, looks like. That’s because these retirement plans are going the way of the dinosaur, replaced by defined contribution plans, typically 401(k)s.
What’s the difference? A pension plan pays a guaranteed amount each month in retirement, based on salary and years of service. A 401(k) plan, on the other hand, depends on employee and sometimes employer contributions and reflects the performance of the investments within them.
What Is a 401(k)?
A 401(k) is a type of tax-advantaged retirement savings account. It is a defined contribution plan. It is offered by certain employers to their employees. The contribution limit for tax year 2026 if you’re under 50 years old is $24,500. If you’re 50 years old or older, it’s $32,500.
What Is the Average Employer Match?
The average employer matching contribution is 4.6% of an employee’s compensation, whereas the median employer match is 4.0% of their compensation.
The Bottom Line
These five companies have some of the best retirement plans available: ConocoPhillips, Boeing, Amgen, Philip Morris, and Citigroup. But it’s worth remembering what the average and median employer match is: 4.6% and 4.0%, respectively. Maybe your plan isn’t too far off.