401k

Ok, so I'm now valid for a 401K and I'm not going to decline something like this. Here's the thing. I have little to no idea what I'm doing.

strange that...I have little or no idea what a 401k is...what is it man?

a 401k is a retirement plan. Dude, put at least 50 to 100 bucks a month in it and it will grow in no time. I put in a hundred a month at my last job. I quit after four years and got a check for like 2,600. It's worth it.

oh
dude


i thought it meant like a 401 k race or something and i was like... more power to you!

Yeah my wife had a small 401k plan that some people handled for her for a state guvment job. All together she invested like 400$ the employer invested 400$ and the mutual fund it was in gained like 20% so she turned 400 into like 1100$ or something. What's cool is most places that have 401k plans let you switch it to your new job if you go somewhere else. So you start this one where your at and keep it up til your ready to cash it in. You can do that anytime but if you do it after 60-65 you pay considerably less taxes.

Originally Posted by: Andrew Sastrange that...I have little or no idea what a 401k is...what is it man?

a bra size.... idiot... :rolleyes:

yeah, so, anyone know anything about filing them?

Originally Posted by: Cryptic Excretionsyeah, so, anyone know anything about filing them?

find out who is head of human resources at your company and talk to them. They will surely help you more than anyone here probably could. I mean, do you want someone named Jolly McJollyson planning your retirement? :D

I had not the slightest clue what one was until reading this thread.

now I have the slightest clue... and that's about it :D

Cryptic,

Do it as soon as possible. If your company matches funds, (free money !!!) max out your contribution to take full advantage of the match. If they don't match, have them take out as much as you can afford!!!

401K money comes out of your paycheck pre-tax so you are getting even a greater bang for your buck...

As someone else said, your HR department has information available for you. It's a great chance for you to save a great deal of money for your retirement.

Good luck...

Aren't 401k contributions a tax write off? We need a resident CPA. Especially now around tax season.

Originally Posted by: magicninjaAren't 401k contributions a tax write off? We need a resident CPA. Especially now around tax season.

That would be cool. :cool:

They're not a tax write-off but like someone already said, that money is taken out of your paycheck before taxes, so it's not really that big of a hit you're taking.

Find out if your company matches you, and if so, up to what percent. 6% is pretty common and what I'm in for. You can't beat a 100% return on your investment. That's free money.

If you still have money you'd like to sock away for old age look into IRA's. If you're young, the Roth IRA is the way to go because when you take that money back out when your a geezer, you won't have to claim it as income because you already paid taxes on that money.