Best Towns To Retire

5 Responses

1. Phade3 says:

   January 30, 2010 at 1:07 pm

   Despite what people say about 401k’s being a tax shelter, there are for those who can afford to sock money into them. For most average workers who make less than $40,000 a year, they cannot afford to put any money into a retirement simply because the cost of living has risen so much that most people are now using money that would have been earmarked is being used just to survive day to day.
   Above all else, there’s no guarantee that money put into a 401k plan will be there in 30 or so years when they get ready to retire. To boot, most companies now are doing away with company matches.
   More than anything else, companies do not in most cases do not adequately educate their employees about the do’s and don’ts of investing so they in the dark from the get go.
2. jmasquit says:

   January 30, 2010 at 1:46 pm

   Generally, 401K plans are good for everyone. Since a 401K is a tax sheltered account, it is generally a better way to invest than investing after tax. If you leave the money in 5 years, you will probably do better in the 401K than an after-tax investment, because the penalty to withdraw (10%) is more than offset by the gains on the pretax amount money invested.
   If someone cannot afford to invest, then a 401K plan is not a bad thing, it just is not a useful thing.
3. ishouldb says:

   January 30, 2010 at 4:38 pm

   do you want to work all your life? if not you need to plan for retirement.
   if you are young the BEST thing you can do is put money into a 401k and let it start earning interest as soon as possible!
   even if you aren’t young a payroll deduction for a 401k will reduce your taxable income and put some bucks aside for later in life.
   no matter what a 401k is a good thing.
   the sooner a person starts it the better off they will be come retirement age.
   yes, it does take some cash from your weekly check…but think big picture and not now now now…
4. wwpetcem says:

   January 30, 2010 at 11:20 pm

   Reasons to have a 401k:
   You can save what you can afford even 1% of your wages.
   Most employers match the contribution..so it’s sort of like getting a raise from your employer.
   Less taxes are taken from your gross wages…and in some cases can make your take home slightly less or unchanged.
   Even though the market goes bad and the 401k never gains much..you are still saving money.
   I have the maximum taken out and my take home pay is only 20 bucks shorter than what it was…I save big on taxes being taken out.
   So why give the govt your money.
5. voluntar says:

   January 31, 2010 at 3:10 am

   The main reason to invest in a 401k? Free money. If you have an employer match and don’t take advantage of it then you are tossing free money out the door.