(04-12-2022 08:48 AM)bobdizole Wrote:  

(04-12-2022 08:37 AM)CliftonAve Wrote:  Yeah this is pretty much everyone's 401K right now. Interestingly, around 40% of the country does not have a 401K, 50% of Gen Z does not have one and 54% of people making under $50K do not have one.

What do you think about the bill they are about to pass, or might have already, that would require all employers to automatically enroll all new employees in a 401k at 3% of their income? Full text below. I don't generally like any federal mandates of the employer/employee relationship, but this one kind of makes sense. I know I wish I had listened to my Dad and started contributing to a 401k in my 20s vs in my 30s

Quote:SECURE Act 2.0 would require employers that establish new defined contribution plans to automatically enroll newly hired employees, when eligible, in the plan at a pretax contribution level of 3 percent of the employee's pay. This level would increase annually by 1 percentage point up to at least 10 percent but not more than 15 percent of the employee's pay. Employees could affirmatively elect a different contribution.

If a participant has not made an investment election, contributions are defaulted into a qualified default investment alternative (QDIA), generally, a target date or balanced fund or a managed account.

These provisions apply to new 401(k) and 403(b) plans established after the legislation's enactment date, as current plans would be grandfathered. There is also an exception for small businesses with 10 or fewer employees, those in business for less than three years, church plans and governmental plans.

My new company does this... its so people don't 'forget' and then have to wait a year to enroll. You can always decline when you fill out all your paperwork

As long as there is an option to "opt out" for the employees or enroll less than 3% then I am fine with this proposal.

(04-12-2022 08:59 AM)Eagleaidaholic Wrote:  Switched the wife's over to the "safe fund" last October. Making 1.8% and started all new money into the "aggressive fund". No worries. Kept the windfall from the last 5 years. She will retire in 7 5 years. Started it 25 years ago.

What you did with your wife's fund last October, I did with mine on 1/19/21. It increased about $18,000 in Trump's final 6 weeks and I considered riding it until around Feb. 1.....but I knew Biden* would be the COMPLETE FUBAR DISASTER that he has become.

I make about 2.2% and that is perfectly fine after riding that Trump wave for four years to really drive it up. I'm just glad I got out before Biden* could ruin it.

We plan to retire sometime between late summer and Dec. 31.

Don't panic. Stay the course. Adjust accordingly. Mine is -7% YTD.

I only look at mine quarterly. Will keep contributing though since dollar cost averaging is the way to go.

Tip: If you ever get a signing bonus or any other kind of work bonus, increase your 401k percentage up to whatever the max contribution percentage is. Otherwise, tons of it will be taxed. I'd rather have most of it go into my account, and then lose it in the market, than give it to the government.

(04-12-2022 12:53 PM)VA49er Wrote:  I only look at mine quarterly. Will keep contributing though since dollar cost averaging is the way to go.

Tip: If you ever get a signing bonus or any other kind of work bonus, increase your 401k percentage up to whatever the max contribution percentage is. Otherwise, tons of it will be taxed. I'd rather have most of it go into my account, and then lose it in the market, than give it to the government.

Right... you take short term hits now for bigger gains later. It sucks to see it losing money but it's best to stay the course.

(04-12-2022 09:24 AM)Redwingtom Wrote:  

(04-12-2022 09:02 AM)poppaslaw Wrote:  Orangeman's reign got back all my losses from Hussein and then some. Now it's back in the crapper.

"Welcome to Walmart."

Sure thing...

Quote:Not too bad, according to major indexes. Based on annualized returns for the S&P 500 SPX, 0.97%, the U.S. benchmark, trump (+13.7%) saw the third-best performance of the 15 presidents who have served since 1929, according to Dow Jones Market Data. trump, however, slightly trailed his immediate predecessor, Barack Obama (+13.8%). Bill Clinton (+15.2%) claims the top spot.

The Dow Jones Industrial Average DJIA, 0.65%, the more popularly known blue-chip gauge, saw an annualized return of nearly 11.8% under trump, versus 12.1% for Obama and 15.9% for Clinton. Calvin Coolidge, with the benefit of the Roaring ’20s, topped them all with a 25.5% annualized rise, based on data going back to the late 1890s.

https://www.marketwatch.com/story/stock-...1611161401

Oh statistics! Obama took over right after a major market crash. His gains are the same as Biden’s* impressive job gains. A natural rebound doesn’t require anything from a leader.

Clinton was lucky enough to ride the internet bubble which was already starting to burst as he walked out the door.

Trump took a high market and it went even higher.

(04-12-2022 08:37 AM)CliftonAve Wrote:  Yeah this is pretty much everyone's 401K right now. Interestingly, around 40% of the country does not have a 401K, 50% of Gen Z does not have one and 54% of people making under $50K do not have one.

A lot of this is due to age differences, not generational differences. For example, 50% of Gen Z is too young to have a 401k, or is in college.

A waitress working her way through college doesn't need a pension; she needs money now to pay for food & tuition.


You also don't need a 401k if you've got a pension. 26% of workers have pension plans (mostly old people, and government employees like teachers and military).