What should I check before front-loading my 401(k) early in the year?

Front-loading means contributing large amounts early to max out before year-end, which gets more money invested sooner. But it carries a trap if your plan matches per paycheck and lacks a true-up: once you hit your personal deferral limit and stop contributing, your employer stops matching in the remaining paychecks, so you can lose thousands in match.

Before front-loading, confirm your plan has an annual true-up, or calculate a steady per-paycheck rate that maxes you out only on the final paycheck of the year so you defer something every period. Also make sure front-loading will not strain your cash flow. If your plan does have a true-up, front-loading is generally advantageous because of extra time in the market. Read your summary plan description to verify the true-up before deciding.