Is my 401(k) plan good?

Start with the employer contribution

Find the match or nonelective contribution in the Summary Plan Description or enrollment guide. Write down the formula, the maximum employer contribution, and how much you must save to receive it all.

Public filings add context: total employer contributions divided by active participants shows the scale of employer money reported for the plan. It is not the match formula and not what every employee receives, but it can help you compare an employer with similar plans.

Check the fees you can control

Look at the expense ratio for each investment you use, plus any per-account or asset-based administrative charge. Low-cost index funds are a useful reference point, but a plan can still be valuable when it has somewhat higher costs and a strong employer contribution.

Form 5500 administrative expenses are plan-level figures. They may omit investment expenses paid inside funds and may include costs paid by the employer, so use them as context—not as a complete employee fee quote.

Look for participation-friendly design

Automatic enrollment, automatic contribution increases, immediate eligibility, a sensible default investment, and a short vesting schedule make a plan easier to use. Public active-participant counts can show scale and direction, but they do not reveal the employer’s exact participation rate unless the eligible workforce is also known.

Make a decision, not a perfect score

First contribute enough to capture the full employer match when your circumstances allow. Then compare investment costs and diversification. Finally, review vesting, loan rules, withdrawal restrictions, and rollover options. A plan with a modest menu can still work well when the match is strong and the core funds are inexpensive.