How does a 401k match actually work?

A 401k match is when your employer contributes money to your retirement account based on how much you contribute. The most common structure is something like "50% match up to 6% of your salary," meaning if you earn $60,000 and contribute 6% ($3,600), your employer adds half of that, or $1,800. If you only contribute 3%, they only match on that 3%. Some employers do a dollar-for-dollar match up to a certain percentage, which is even more generous. The key thing to understand is that you usually need to contribute enough to get the full match, otherwise you're leaving free money on the table. Many companies also have a vesting schedule, meaning you only keep the employer contributions after working there for a certain number of years.