As you know, healthcare and benefits can be complicated, which can make the enrollment process confusing. As part of that enrollment process, employers often offer fringe benefits like 401(k) plans. These retirement savings accounts are a cornerstone of employee benefits, providing an opportunity to plan for the future while reducing taxable income today.

So, what is a 401(k)? Here’s what you need to know, including how contributions, employer matching, and tax implications work.