How Much Should I Put in My 401(k)

The question of how much should be put into your 401K is a kin to how much should I be putting towards retirement.

How much to put into a 401K

Most employers match 401k contributions to a certain percentage (often between 3% and 6%). Maximizing the match contribution is essential. The alternative is you leaving compensation on the table.

How much to put into retirement

This question is much more complex. Determining factors:

  • Anticipated years in retirement
  • Expected income needs
  • Alternate income sources
  • Time horizon to retirement
  • And many others

A starting point would be to get your overall contribution rate to 10% between employer plans, IRA/ROTH, and non-qualified investment options. Ultimately consult a qualified adviser to help calculate your personal savings needs.

 

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Always remember that while this is an investor education piece, this does not trigger or relate to trading activity on your account with Financial Future Services. This article is for informational purposes only and not intended as a recommendation. Each investors circumstances are different and a full review of you situation is necessary for a recommendation.

Any and all third-party posts or responses to this blog do not reflect the views of the firm and have not been reviewed by the firm for completeness or accuracy.

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