Anchor: If you want to retire
in style, you are not entirely banking on Social Security.
Kwei Battles: 401k, Roth IRA,
pretty much and then personal investments.
Anchor: You've got to do more
than just put away funds, you've got to figure out where to put
it!
Kwei Battles: I guess American
bond funds, Washington Mutual funds; I have mine divided in to 5
different major categories.
Anchor: If you feel a little lost regarding your
company's retirement plan, here are a few basics:
i) Beware Company Stock - If
your company offers its own stock as an investment option, just
say NO, that's too many eggs in one basket.
ii) Keep it Simple - Keep your
investment plan simple. You don't need more than a few investments.
Along with bond & money market funds, almost
any expert will advise you have some money in stocks. But how do
you decide how much? Well here's one simple rule of thumb:
Subtract your age from 100, put that percentage
in to stocks. Divide what's left between money market & bonds.
Stock % = 100 years - Current Age
Bond % = 100% - Stock %
iii) Review Your Account: Review
your account every now and then and make adjustments as necessary.
This could be done every quarter, every year, but make sure you
do it!
Stacey Johnson (CPA): There is one more thing
to think about when it comes to retirement plan; fees! View Money
Talks' next video for more information on 401k fees.
The
above title how to retire as a millionaire with your 401k plan may
seem too catchy to you, but it is worth reading this article about
how one ordinary man named Knute Iwaszko became famously known as
the ‘401k millionaire.’ Author of the book ‘The
401k Millionaire – How I started with nothing and made a Million”,
Knute was not a Wall street hedge fund manager making huge salary
or CEO of Goldman Sachs, he saved for his retirement while earning
a $60,000 a year salary and paying the costs to raise 5 kids.
The
above title how to retire as a millionaire with your 401k plan may
seem too catchy to you, but it is worth reading this article about
how one ordinary man named Knute Iwaszko became famously known as
the ‘401k millionaire.’ Author of the book ‘The
401k Millionaire – How I started with nothing and made a Million”,
Knute was not a Wall street hedge fund manager making huge salary
or CEO of Goldman Sachs, he saved for his retirement while earning
a $60,000 a year salary and paying the costs to raise 5 kids.