Ep 225: How to tell if your 401(k) plan sucks

Most people only invest for retirement through their employer plan, which means if that plan is weak, your future could be too. But how do you actually know if it’s bad, or if you just don’t understand it yet?

In this episode, we break down the three biggest signs your employer plan might be holding you back, and what to do about it.

We’ll get into:

• Why some 401(k) fund menus feel like a restaurant with no good options (and how to find the hidden gems)
• What “the match” really means, why it’s not free money, and how to calculate its true impact on your paycheck
• The ugly truth about vesting schedules, and why they’re less about rewarding loyalty and more about saving your employer money
• How to compare your retirement benefits across jobs the same way you’d compare rent prices or school districts before moving

Your retirement plan is part of your compensation, just like salary, PTO, and health insurance. If you’re ignoring it (or assuming it’s fine) you could be leaving hundreds of thousands of dollars on the table.

Take a closer look now so you can decide whether your plan is working for you, or if it’s time to find a better path forward.

Links: 

• Ep 171: Why you need a brokerage account: The Swiss Army knife of investing 
• Ep 105: Planning for your retirement 
• Ep 108: Sparking your early retirement dreams: A guide to FIRE  

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