Prudential Retirement

[Future]

I meant better investment options.
I can't believe how many don't save anything at all.

 

[Coldworld]

How did the union get their name on the 401k???

 

[IVE GOTTA PACKAGE 4U]

How did the union get their name on the 401k???

It's a plan approved by the Union and the Company. The Union has nothing to do with the plan.

 

[1989]

I thought in the beginning. UPS and the union had equal members on the board of trustees.

 

[Benben]

I've been putting 10% of my pre-tax pay into it since 1996 & I'm glad I did now that I'm close to retirement. You can get a loan from it before age 59-1/2 for education, medical, or foreclosure only. However, remember, this should be a last resort option as you will pay 10% penalty to the government & interest on the loan which you will pay back w/after tax dollars. So, yes, invest in it-but only as much as you feel comfortable not being able to use til you're 59 1/2. Hope this helps

You are a bit off on the loan information. You are taking a loan out against YOUR OWN money. You are paying YOURSELF back. The downside is you lose the income that your monies would otherwise have made during the loan repayment but no penalty. The approved reasons for a loan include buying a primary residence not just to avoid foreclosure.

 

[IVE GOTTA PACKAGE 4U]

I've been putting 10% of my pre-tax pay into it since 1996 & I'm glad I did now that I'm close to retirement. You can get a loan from it before age 59-1/2 for education, medical, or foreclosure only. However, remember, this should be a last resort option as you will pay 10% penalty to the government & interest on the loan which you will pay back w/after tax dollars. So, yes, invest in it-but only as much as you feel comfortable not being able to use til you're 59 1/2. Hope this helps

No 10% penalty on a loan.

 

[Part-Timer 052]

if u can, pay yourself first, remember to set urself up for retirement, use all the tools u can

 

[lazydriver]

Put away any money you can afford. The fees are low and you manage where your money is allocated. It is also tax deferred. I retired a few years ago at age 51 and can't touch my ups401K, but it will probably have over 1mil when I begin to withdraw at 60.

 

[Boulevard859710]

Put away any money you can afford. The fees are low and you manage where your money is allocated. It is also tax deferred. I retired a few years ago at age 51 and can't touch my ups401K, but it will probably have over 1mil when I begin to withdraw at 60.

Cool

 

[Part-Timer 052]

very smart man, invest in yourself

 

[Jackburton]

If I were to start over I would have only contributed to an IRA, and not touched the 401K.

A managed IRA will have higher fees than our 401k, it also has a lower contribution limit.

 

[1989]

A managed IRA will have higher fees than our 401k, it also has a lower contribution limit.

Why pay any fees. It lacks physical assets.

 

[Jkloc420]

If I was a driver I would be doing the 5 percent that is allowed for after tax for the 401k.

 

[IVE GOTTA PACKAGE 4U]

If I was a driver I would be doing the 5 percent that is allowed for after tax for the 401k.

Why?

 

[Jackburton]

If I was a driver I would be doing the 5 percent that is allowed for after tax for the 401k.

If you mean Roth401k, that would make sense. The after tax selection is has no benefits that you couldn't do better on your own.

 

[Jackburton]

Why pay any fees. It lacks physical assets.

Because I don't do investments for a living, I'll pay someone else who does at a discount to do them for me. If the returns suck I'll switch it, so far I've been pleased with the limited selection of funds we have.

 

[IVE GOTTA PACKAGE 4U]

If you mean Roth401k, that would make sense. The after tax selection is has no benefits that you couldn't do better on your own.

Except That you can withdrawal your contrìbutions

 

[twoweeled]

If I was a driver I would be doing the 5 percent that is allowed for after tax for the 401k.

That's what I did for a few years. I'm happy I did now. Some people might ask why? I'm sure most of us will agree, we'll NEVER save too much money. I now have an extra $100K, already been taxed, dollars.
If you start contributing early on, later on you won't even notice it and you'll live on what remains - which really shouldn't be too difficult.
no brainer. Max out!

 

[Jkloc420]

That's what I did for a few years. I'm happy I did now. Some people might ask why? I'm sure most of us will agree, we'll NEVER save too much money. I now have an extra $100K, already been taxed, dollars.
If you start contributing early on, later on you won't even notice it and you'll live on what remains - which really shouldn't be too difficult.
no brainer. Max out!

That's my point. 5 percent of a drivers check is pretty significant. Plus its already taxed and you can take out anytime you want to. That is why I am not sure why a lot of drivers don't do it.

 

[Jkloc420]

Why?

I would do both after tax and before tax. I would do the five percent because has a drive it is a pretty good amount going in each check. Plus it adds up fast and it isn't taxed.