401k contribution - Yay or Nay

[SlugSlinger]

and that is why nothing will ever change.

everyone should be divesting.

I’m not saying don’t manage your account, I’m saying take advantage of dollar cost averaging.

I dumped almost all of my stocks when Biden was elected. The fund I was in was about 25 when I sold, it’s 18ish now.

When you say everyone should digest what does that mean? Hold cash?

 

[Duncandl]

Moved all of mine to cash, contribute to get the match and I’m still in the positive but it has slowed to a crawl from the previous 2 years of sprinting.

 

[jakeman]

As much as you can afford every 2 weeks. Without fail. Never less than what they’ll match. That’s free money.

When I was young it was in the riskiest, highest growth potential investments available in the plan.

 

[TinkerTanker]

I didn't read all the replies, but I 100% think you should put your 6% in and get the full match. Stocks are down and heading further down. You're getting them half price too because of contribution matching. The market won't fall 50%, especially if conservatives take the house and senate.
If you can afford it, it's easy "free" money.

 

[PanhandleGlocker]

Contribute the matched amount. Is it 100% match up to 6%? If so, you are essentially getting 100% return.

Whatever % I contribute, the company will match it but only up to 6%.

 

[joegrizzy]

I’m not saying don’t manage your account, I’m saying take advantage of dollar cost averaging.

I dumped almost all of my stocks when Biden was elected. The fund I was in was about 25 when I sold, it’s 18ish now.

When you say everyone should digest what does that mean? Hold cash?

i just don't think anyone is changing the game by sitting down at the table and having a play. money is power and the power of people's money is used collectively against them.

 

[SlugSlinger]

Whatever % I contribute, the company will match it but only up to 6%.

Some companies do some different math like match 50% up to 6%. So you invest 6% of your income and they match half or 3%. Still that’s a 50% return.

 

[jakeman]

Whatever % I contribute, the company will match it but only up to 6%.

As much as you can afford that the plan will allow. If they allow 14% and you can afford to live without it contribute 14%. If that is 8% then it’s 8%. If it’s 4%, you need to figure out a way to live with contributing 6%.

Get in as soon as they will let you in. As you get raises, roll them into the contribution. Lots of plans have an option to auto raise it 1% a year til you reach the max.

If your company has a matching plan and you aren’t in it you’re screwing yourself, and I don’t mean a little I mean a lot and to the tune of millions of future $’s. Millions, if you’re still young. If you can’t afford to be in your plan, you absolutely can’t afford to not be in your plan. Get in your plan.

 

[PanhandleGlocker]

Some companies do some different math like match 50% up to 6%. So you invest 6% of your income and they match half or 3%. Still that’s a 50% return.

Yeah, if I put in 6% of my income they will match that dollar amount.

If I put in anymore than 6% they will only match the 6%

 

[16colt]

Whatever % I contribute, the company will match it but only up to 6%.

I would contribute the 6% at the minimum. If you don’t, you are giving up free money. Even if the market does not come back for 2-3 years, your contributions at low cost is doubled by your company match and you will reap the benefits in the future. Add compounding interest and it is a win, win, win over the long haul.