Message Font: Serif | Sans-Serif
No. of Recommendations: 0
To each his own. Yes, those who manage their own investments can probably do better than a 401K plan in several respects. But the thing is, the fraction of the population that can do that at say age 30 is quite small--possibly less than 1%. 401K does a good job of encouraging people to save for retirement. And it encourages regular saving and reinforces the discipline that this money is for retirement.

Yes, some 401K plans are better than others. Good ones have done quite well for many over the years. In the midst of recession, many see clouds on the horizon. Lets hope the sun shines again one day.

If you have your own system for funding your retirement, great. Those who have none may never be able to retire or could end up on welfare. 401K is better for all of us.
Print the post  


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.
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.