401k Question

PowerWheels

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Yup, as I recall the Odumbass administration was contemplating a "401k skim" of a percent or 2 on everyone's 401k.

I'd like to think that would have made him a recipient of several high velocity doses of lead if they actually tried it.
I've heard dems talk of nationalization of 401ks. Basically making a big pool for everyone.

I'd die on that hill.

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Ohio Snake

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I rolled my 401k to a traditional IRA brokerage account and invest in exactly what I want to. Also - then if you want, you can roll some over to a Roth IRA. Then it's tax free forever after initial conversion costs. 401k target funds are bullshit.

Assuming you no longer worked for the sponsor of your 401k or your sponsor offered in-service withdraws to do a rollover.
IRA’s may not be protected from creditors if you get sued, where the 401k is off limits to creditors…..and at age 55, you may be able to take penalty free distributions in a 401k, were your IRA may have a penalty unless the distribution qualifies for a waiver.

A self directed brokerage 401K would be best, if offered.
Some 401K’s offer a Roth which allows more annual contribution than a Roth IRA.
Target date funds can actually be very good for allocation and risk based on age. Some target date funds may offer funds wrapped in the target fund that are not available in a 401K platform. American Funds, BlackRock and Vanguard target funds can offer 2050+ target date funds that can rival average returns of SP500 index funds with more diversification. There are SOME shitty target date funds.


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cobracide

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Assuming you no longer worked for the sponsor of your 401k or your sponsor offered in-service withdraws to do a rollover.
IRA’s may not be protected from creditors if you get sued, where the 401k is off limits to creditors…..and at age 55, you may be able to take penalty free distributions in a 401k, were your IRA may have a penalty unless the distribution qualifies for a waiver.

A self directed brokerage 401K would be best, if offered.
Some 401K’s offer a Roth which allows more annual contribution than a Roth IRA.
Target date funds can actually be very good for allocation and risk based on age. Some target date funds may offer funds wrapped in the target fund that are not available in a 401K platform. American Funds, BlackRock and Vanguard target funds can offer 2050+ target date funds that can rival average returns of SP500 index funds with more diversification. There are SOME shitty target date funds.


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Perfect fiduciary response for someone who wants low risk and is happy with sp500 returns. There is much more to be gained by thinking outside the box and doing your own stock picking - but it's not for everyone and comes with a higher risk profile.
 

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