Monday, September 14, 2009

Money in the bank

401K’s might not be what they used to be.
Quite a few employers have stopped matching, and fees that are being charged by the administrators are frequently more than they should be (there’s no cap on how much many of these plans can take off the top in fees).

Your asset might be returning you 4%, but an expensive asset manager may take 2%.

Also, watch out for target date funds.

Their allocation mix is supposed to get more conservative as you get older, but they’re not all doing that.

Some 2010 ones lost 40% of their value last year because they were too heavily invested in stock.





Harvey Dorland

Pacific Recruiting

936-597-6500 - direct

hdorland@ez2.net

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