Advantages to a 401k Plan
The Benefits of 401k Retirement Plans
One of the most obvious and popular advantages to 401k Retirement Plans is the ability of the employee to decide how much money is invested in the plan. Traditional pension plans generally take a set amount of money out of each paycheck, beyond the control of the investor.
The tax-deferred nature of 401k plans is another advantage. Your income is not taxed until the moment benefits pay out to you. This allows your investment to grow with more money in the fund and lets interest build it longer.
Rather than simply paying into a fund that buys your company's stock or choosing a set mutual fund that all employees invest in, 401k Retirement Plans let you choose from a wide array of stocks, bonds, mutual funds, CD's, and many more options.
Savings for a pension plan or other retirement fund might be difficult or impossible to move from one job to another. 401k plans can easily be "rolled-over" to another job and fund and continue accruing interest.
Many employers will provide matching funds, putting as much money as employees do into the 401k fund.
How can I find out more?
- You can start by visiting our online Learning Center to review the basics of how a 401k rollover works and what it can do for you.
- Use our Contact an Agent form to request a rollover for your 401k plan.
© 2003-2015, 401k-Rollover-Options.com, All rights reserved.
Webmasters! Help us promote our products, click here