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Subject:  Re: 401(k) allocation Date:  1/11/2004  8:15 PM
Author:  sunrayman Number:  38471 of 91054

The other major decision to make is what % of my salary to defer. I am tempted to front-load my contribution so that the money has more time to grow in the market. Dollar cost averaging is appealing, although I feel that, all things being equal, it would be better to get in sooner than later.


I would caution you to check very closely with you Co.'s HR folks to see how the Co. matches your 401k contributions. I worked for several Co.s that made their corporate match on a quarterly basis. These days, using a front-loading contribution method, there is the potential to contribute your annual maximum in one or two calendar quarters thereby missing corporate matching in the other quarters.

You don't want to miss any corporate matching.


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