Jan 19 2009
Financial Prep Continued - 401K
Continuing the discussion of our financial prep for 2009 I wanted to talk about your 401K. So long as you are able to make your mortgage and pay your bills you should be contributing funds to your retirement. After all, you don’t want to work for the rest of your life do you? I certainly don’t. And as much as I would like to hope for social security ……..I am not willing to bet my future on it.
Should you be working for a company that offers a 401K with a matching contribution consider yourself lucky as this seems to be a popular cutback item for many corporations in these economic times. So if you are one of the lucky ones, at minimum you should be contributing as much as what your company is willing to match. Why when the stock market appears to be going down, down, down? Because for those of us with more than 10 years to go to retirement - it’s a yard sale baby! Not only are stocks at rock bottom prices right now, with your company matching your money you have already gotten dollar for dollar value for your money.
Having said all of this, I want to tell you that I did not do a very good job of diversifying my investments in the past which is why I chose to hire a financial advisor this year. I would recommend that to you as well if it is within your budget to obtain one. If not, as I stated previously I am also a huge fan of Suze Orman whose book is only $9.99 at Barnes & Noble or you can watch her for free on TV every Saturday night. There is also a lot of really good information on the internet as well.
Being a single parent myself, I know how tight money can be but you owe it to yourself to be sure you are taken care of. Be careful with your money and invest wisely ……..after all it is the lifeline of your future.
