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Should I max my 401K contributions?
- Thread starter Sad Bunny
- Start date
BlvdBrawler
Superstar
Did you change your mind about stocks and bonds in the last 24 hours, or did you realize that the below statement...
...is exactly what a 401(k) is, minus tax benefits and employer matching?
The Nigerian
The Realest Member of TheColi
Stocks = company ownership = business ownership
Did you change your mind about stocks and bonds in the last 24 hours, or did you realize that the below statement...
...is exactly what a 401(k) is, minus tax benefits and employer matching?
A 401k is a very very sh!ty investment scheme for people that don't know how to invest.
BlvdBrawler
Superstar
You keep saying that but haven't explained why. Is it because you can't liquidate it early w/o penalties? Imo that's inconvenient in case of emergency, but doesn't make it shytty at all. You still own the shares, just like any other investment acct.
Plus you get to buy those shares with pre-tax income? No-brainer.
PewPew
I came from nothing
Stocks = company ownership = business ownership
A 401k is a very very sh!ty investment scheme for people that don't know how to invest.
Do you always make such broad generalizations?
You say invest in rental properties right? So what if you cant find a tenant? Are you buying these properties cash or mortgaging them? What about upkeep for said properties and taxes? Let's assume you can't find anyone to rent from you for a year, that asset could very well become a liability.
Whereas with a 401K, you're paying into it with money you've already made. If you don't trust the advisers then manage the portfolio yourself. Now the dice to the casino is in your hands.
Listen, I get where you're coming from but I definitely don't agree with the "Rich Dad, Poor Dad" bullshyt you keep spewing. 401K's are definitely a useful tool if you're trying to SAVE money to live on when you retire.
daboywonder2002
Superstar
my problem is once a year im always taking out a 401 k loan. i cant help it. its easy money to get. plus the low interest rates are great. im thinking about taking one out to pay off some debt. good or bad move??
PewPew
I came from nothing
Depends on the type of debt and how much it is...If that debt will allow you to be more liquid and pay more money into the 401K, then go for it. Still though, that 25 percent hit you gone take
Field Marshall Bradley
Veteran
Here's the thing. The 401k was never meant to be a retirement vehicle, it just forces money into the stock market.
401ks started out as "reduced salary plans" for corporate bigwigs and were never meant for regular employees....
But Wall Street and corporations got uber greedy and got rid of a secure retirement plan via pensions, and replaced them with an extremely volatile one in 401ks, which is solely dependent on market returns.
And with the uncertainty of today's market, why would you solely invest your future in a 401k?
401ks started out as "reduced salary plans" for corporate bigwigs and were never meant for regular employees....
But Wall Street and corporations got uber greedy and got rid of a secure retirement plan via pensions, and replaced them with an extremely volatile one in 401ks, which is solely dependent on market returns.
And with the uncertainty of today's market, why would you solely invest your future in a 401k?
BlvdBrawler
Superstar
The same reason you'd solely invest your future in real estate, or gold bars, or putting it all on black in vegas. Aka, you wouldn't.
Field Marshall Bradley
Veteran
Who in here can honestly say that have other retirement vehicles than a 401k.
Oh, and real estate has been rock solid forever as far as generating money is concerned...
There was a "mortgage" crisis, not a real estate crisis
gldnone913
Integrity and Consistency
I will say, if you do acquire around 50k+. You should definitely cash out and start over. Take that 60k and invest in something else. You have to be a complete idiot to leave your money in any volatile market for 30-40 years straight. Most of us are around 25-35. You're going to let certified crooks hold and gamble with your money for til your 65?
You have to crash out and start over. It's like walking out of the casino up 60k, putting that 60k and the bank. And then going back to the casino. Never stay in the casino.
BlvdBrawler
Superstar
Can't speak for anyone else here but I've got plenty of other assets. I can see if you're arguing against betting it all on a 401(k), that wouldn't be smart. But then putting all your eggs in any basket would be dumb. Arguing against the merits of the 401(k) like it's some kind of scam is just ignorant.
Call it whatever you want. A lot of people lost a lot of money.
These plan advisers make you idiots think that there's no risk involves in investing in the 401k plan. Not true.
It's amazing how you guys are straight clowning what i'm saying but aren't disputing it.
So you think you're going to have a million in your account when you turn 62? There's over 80 million people in this country, solely contributing to the 401k that think the same.
Now that's 80,000,000+ x $1,000,000 = $80,000,000,000,000! 80 Trillion Dollars.
Our national debt is 16 trillion+ and we can't make the interest payments on that. So wall Street is going to pay out 80 trillion dollars to you all.
Just ask yourself this, how are Wall Street benefiting from this instrument? Are do you think they created this for the well being of all Americans?
They're getting for sure money, you're getting the risk.
Now your money is being invested in that short list your plan mananger offered you and at the same time being investing (gamble) in derivatives, housing market and credit default swaps and other entities outside of your selected options.
If your stock does well, everyone wins. I
If your stock doesn't do well, you lose, not them
If their side investment win, they win, not you.
If their side investment lose, you lose.
(Remember when the house market crash and everyone's 401k lost about 40-60%. No one knew 401k were tied to the housing market)
You idiots think they're providing this service for free?
They're charging you all kinds of fees in these plans. Management, etc and ton hidden fees that studies have said can account for up to 1/3 of your total investments over a 30 yr period. These fees are no where in your quarterly report. So they are getting their money for sure, you only get the risk.
You can clown what I say, I'm just trying to help you. Read into it yourself. You fools only listen to your plan manager and company's. The are pimping you idiot 100. You haven't read any thing on this and your whole future is pending on it. Good luck.
It's amazing how you guys are straight clowning what i'm saying but aren't disputing it.
So you think you're going to have a million in your account when you turn 62? There's over 80 million people in this country, solely contributing to the 401k that think the same.
Now that's 80,000,000+ x $1,000,000 = $80,000,000,000,000! 80 Trillion Dollars.
Our national debt is 16 trillion+ and we can't make the interest payments on that. So wall Street is going to pay out 80 trillion dollars to you all.
Just ask yourself this, how are Wall Street benefiting from this instrument? Are do you think they created this for the well being of all Americans?
They're getting for sure money, you're getting the risk.
Now your money is being invested in that short list your plan mananger offered you and at the same time being investing (gamble) in derivatives, housing market and credit default swaps and other entities outside of your selected options.
If your stock does well, everyone wins. I
If your stock doesn't do well, you lose, not them
If their side investment win, they win, not you.
If their side investment lose, you lose.
(Remember when the house market crash and everyone's 401k lost about 40-60%. No one knew 401k were tied to the housing market)
You idiots think they're providing this service for free?
They're charging you all kinds of fees in these plans. Management, etc and ton hidden fees that studies have said can account for up to 1/3 of your total investments over a 30 yr period. These fees are no where in your quarterly report. So they are getting their money for sure, you only get the risk.
You can clown what I say, I'm just trying to help you. Read into it yourself. You fools only listen to your plan manager and company's. The are pimping you idiot 100. You haven't read any thing on this and your whole future is pending on it. Good luck.
BlvdBrawler
Superstar
If I didn't know better I'd say you were trolling.
88m3
Fast Money & Foreign Objects
401k is a joke breh you will never see that money, never ever. your family will never see that money. you will die. the money will be siphoned into some slush fund and then it will go missing with your advisor calling you like
lol at these 4/7 percent matches just say your work at mc donalds and be done with it
