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Originally Posted by cjlipps
There's a lot of good advice here. By all means, participate in your employer's 401(k) up to the maximum match. Don't leave free money on the table. In answer to your questions, yes, it's a realistic goal to retire comfortably at 65. You are talking about a 40 year span. However, every year you ponder and try to decide what to do is one less year for your money to grow.
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Great advice here.
Do not pass up the chance to invest in your 401K for retirement.
Get some advice from a financial professional on how to spread your money among the funds offered in the plan. This is called asset allocation, and it's the most important decision you will make.
One good choice is to invest the money into funds called something like "Target Retirement funds". They usually go in five year increments, so they will have funds titled, "Target Retirement 2025", "Target Retirement 2030", "Target Retirement 2035", and so on.
You pick the fund that has your closest retirement date, and the fund company manages the asset allocation for you, adjusting the mix of stocks, bonds and cash to a conservative mixture at your retirement date.