Question

Latasia's annual salary is $66,410, and she makes 401K contributions. Her company will match 50% of the amount she saves up to 8%. If she contributes 10% of her salary to her 401K, how much does her company contribute to her 401K?

Answer 1

This will lead her to $2700 contribution in the company.

Answer 2

Her company contribute $2656.40 to her 401k.

Explanation:

Latasia's annual salary = $66,410

Her company matches up to 8%

8% of her Salary = 66410 × 0.08 = $5,312.80

Her company will match 50% (that is half of the amount)

5312.80 ÷ 2 = $2656.40

Her company contribute $2656.40 to her 401K