1. If your company matches a percentage to your 401K contribution, it is actually just like you got a raise. For example, if your company matches 3% of your salary to your 401K contribution, and lets say you make $40,000 a year, you are going to get an extra $1,200.
2. Your contribution to your 401K plan is tax deferred. For example, if you contribute $2000 to your 401K, and your wages are at $40,000, you actually will only pay taxes on $38,000. You will save on paying the taxes on the $2,000 for now.
3. Your contribution and the extra that your company matches grows in your plan and you will have an attractive amount of savings without really cramping your budget.
4. You can borrow from your 401K plan when you need to, such as, for a down payment to buy a house.