Yesterday we talked about why we should not take money out of a 401(k). The Bargains are too good (for long term savings) to pass up.
Whether you see this economy as "half full" or "half empty", you need to make sure you are taking adavantage of a 401(k) is it is offered by your employer. And if they offer matching contributions or profit sharing - there's no reason NOT to do it. Your employer is giving you FREE money to help fund your retirement.
What if you've never started a 401(k), or are starting over at "Ground Zero"?
Did you know that a 40 year old, earning $50,000/year, putting 10% into their 401(k) ($5000/year) would have saved $459,632 by age 65??
That is based on the employer matching dollar for dollar up to 4%, and averaging a 7% return over 25 years.
Want to see where you will be at retirement? Just use the 401(k) Calculator at
http://www.deanvoelker.com/investment-tools.htm . Plug in your own numbers to fit your situation.
Can you imagine how much less this would be if you stopped?
For more information, please contact me at www.helpmy401k.us.