401k is treated as an alternate system to retirement allowance and pension at many organizations these days. It’s a new system and way better then the traditional one in all aspects. 401k is beneficial for both the employees and employers.
401k actually emphasizes on the contribution made by employees. 401k is a retirement savings account in which employees keep saving a portion of salary during their working period with the employer. Employees are at liberty to select 401k plan of their choice usually which makes up a good amount.