Category: 401(k)

Benefits of Company-Sponsored Retirement Plans

401(k) retirement plans are frequent conversation topics, but are we aware of all they have to offer? If you already have an employer-sponsored retirement plan, you might not fully grasp how these plans work. The more we know about our 401(k) retirement plans the better. About 80 million workers contribute to their retirement plans, which has led to about $5.7 trillion in assets held for 401(k)s in the United States. 401(k) retirement plans do not have to be confusing for plan holders, especially with the many guiding resources which are easily accessible. We’re going to take it back to the basics, and ask, “What is a 401(k) retirement plan?”

Continue reading “Benefits of Company-Sponsored Retirement Plans”

3 Ways 401(k) Retirement Plans Benefit You

Even if you’ve started saving for retirement a little late, it doesn’t mean any future efforts to save will be deemed obsolete. If your company offers to contribute to your retirement plan, it’s highly recommended to take them up on their match, as your investments have greater opportunity to grow and compound over the years. It’s an employer’s fiduciary responsibility to have your best interest in mind when offering a company-sponsored retirement plan.

Every company is different, but your contributions can be matched dollar per dollar, or perhaps 50 cents to the dollar, which means free money for your future. Volunteering to get started on a 401(k) is a financially responsible decision for retirement planning, and a handful of benefits coincide with contributing to the investment plan. Here are a simplified few for starters:

Continue reading “3 Ways 401(k) Retirement Plans Benefit You”

The Importance of Asset Allocation in Your Portfolio

Asset allocation refers to the spread of investments across a mixture of assets including stocks, bonds, cash or marketable securities, securities that can quickly be liquidated to cash when necessary. Gains in investments have the potential for additional optimal growth when they are housed in fruitful environments. However, the stock market can be temperamental and investments may thrive for a certain amount of time then flatline due to unforeseen circumstances. The process of switching funds to alternate locations is called rebalancing, which lives under the same roof as asset allocation.   

Continue reading “The Importance of Asset Allocation in Your Portfolio”

Thriving in a Bear Market

One of the most utilized words in stock market vernacular is volatility. While it can loosely translate as fluctuation on returns, it’s alter ego might describe it simply as a bumpy ride in finance. Since the recent drops in the market the first two quarters of the year, we as a financial whole have been gripping tight to our cash, insight, and a healthy bit of faith. Based on the past, it’s easily deductible a bear market can grapple only for so long before transitioning back into a bull market. When the HCM-BuyLine® first indicated a major sell signal last quarter, we jumped into action to strive to protect our 401(k) Optimizer® subscribers from experiencing the burn of major loss. 

Continue reading “Thriving in a Bear Market”

Your 401(k) Is Just as Important as Your Health

Our routines and our 401(k) plans have collectively experienced the impact the COVID-19 pandemic has had on the world. While it has shared similarities as other past pandemics, this one might as well be considered the most socially shocking. Financially, we can absolutely recover as we have done many times in the past. Taking this pandemic day by day opens up the discussion of our futures. Are we as prepared as we believe ourselves to be?

Continue reading “Your 401(k) Is Just as Important as Your Health”