Years from now, don’t find yourself wondering what happened to the money you invested in your 401(k). Learn from these common mistakes that many make with their 401(k).
- Not participating.
If this is you and you miss the oppurtunity to take advantage of an effective pre-tax and tax-deffered way of investing, make the change and begin contributing.
- Missing out on a company match.
If your employer offers some type of matching contribution on your retirement plan, and you are not participating in the company match, you are missing out on free money! Plus the potential growth of that free money. Aim to increase your contributions to an amount that will maximize your employer's match.
- Not contributing enough.
Is this you, or maybe you are not sure? A free advice tool is available when you log in to your retirement plan account. Click here for a Mastery Point tutorial.
- Investment mistakes.
Not investing according to your risk tolerance and poor diversification can hurt both your portfolio and peace of mind. Diversify your portfolio with your age, risk tolerance, and goals in mind.