Here are summaries of four of the most interesting and thought-provoking items that have crossed my desk this week…
Forbes Magazine Shocker: Why your 401(k) isn’t what it’s cracked up to be!
A stunning article appeared in this week’s Forbes.1 Here are a few of the revelations you absolutely must know about, if you participate in a 401(k):
- 71% of 401(k) investors believe – wrongly – they pay nothing to participate in their plan, according to a recent survey
- On average, participants in small plans (which includes 90% of all employees) pay 1.9% in fees annually!
- Even paying fees of just 1.5% could wipe out one-third of your nest-egg
- In spite of all the noise about “fixing” the 401(k) through new disclosure rules that will be going into effect, they “could cause some 401(k) services to get even more costly.”
Why you need an 8-10% annual return just to break even in your 401(k)…
It’s all documented in this 401(k) exposé I co-wrote with Pulitzer Prize-nominated journalist Dean Rotbart. You owe it to yourself to have the facts!