<prompt> Human: Just got a job offer from a company and Im trying to understand what their 401K plan does. Im trying to follow the advice of this subreddit and put in it as much as the company is willing to match. However, I cant understand what they are saying...Can someone ELI5 this for me?- The 401k program offers a dollar-for-dollar annualmatching contribution up to 6 percent of eligiblecompensation. The annual matching contribution isimmediately vested and you must be an active employeeon the last day of the plan year, December 31, to beeligible for the matching contribution.- The 401k plan allows you to make pre-tax and Rothafter-tax contributions via convenient payroll deductionsup to the annual maximum IRS limit  <response>: So your 401k has 2 options, either traditional money you put in is pre-tax, but taxed when you withdraw it, or Roth money you put in is after-tax, but tax free on withdrawal. If you put money into the 401k, then your company will put in the same amount dollar for dollar match capping at 6 of your salary. E.g. if you made 10kyr, and put in 10, your company would give you an extra 10 into your 401k accout, if you put in 1k instead, theyd only give you 600 6 of 10k.In order to get this extra money you have to still be employed with them on Dec 31 of each calendar year, and you get to keep it even if you leave with no waiting period immediately vested. 