An employer match is a contribution your company makes to your retirement account based on your own contributions — for example, 50% of what you put in up to 6% of your salary. It's part of your total compensation.
Because the match is an immediate, guaranteed return on your contribution, financial advisors widely recommend contributing at least enough to capture all of it before directing money elsewhere. Contributing below the match threshold leaves free money on the table.
Related terms: Capital Gains · DRIP