UnThreaded | Threaded | Whole Thread (20) | Ignore Thread Prev | Next
Author: nicpottier Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 77404  
Subject: My 401K manager's reaction.. Date: 3/29/1999 3:28 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0

I decided to stop contributing to my 401K after checking the funds performances and seeing none of them have matched the S&P 500 in the past couple years. I sent a quick note to the manager of our account for our 401K telling him that I was ceasing contributions and why, and he replied with the following:



That would be very foolish.

You are discontinuing investing in a tax sheltered account? Maybe you
outperform the mutual funds (some of the best in the country) by a FACTOR OF
50% (A HUGE FEAT) but you pay no taxes in the 401k until you retire, and you
give back 30 to 50 % of your gains outside the 401k. So what are you really


His only mistake was not capitalizing 'Foolish'..

I'm quite sure I can do 50% better than the mutual funds offered and I'll have the peace of mind of knowing exactly where my money is invested and how.

Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (20) | Ignore Thread Prev | Next


The Retire Early Home Page
Discussion on accelerating retirement day.
Kiddie Card Board
Should kids have their own credit card?
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Markel Corp.

Markel's Silver Year
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.