<prompt> Human: This may be a dumb question, but whats the point of putting inmaxing out a company 401K at 18,500yr if they only match a certain percentage? Does the larger sum of money input every year mean larger compounding effects on the money? Assistant: The more money you put in, the more money you can invest. The more you invest, the more money you have in retirement.What an employer is willing to match doesnt translate into exactly how much you will need in order to retire.Human: Thanks, this was helpful!  <response>: more importantly, the more you invest in 401k, the less taxable income you have -- less income tax you pay. There are many benefits. And the match is literally free money. Its like cash back on credit cards. Time for you to read up. 