401k for dummies?

Discussion in 'UPS Retirement Topics' started by MC0493, May 22, 2016.

  1. MC0493

    MC0493 Active Member

    Hey everyone, i recently made book and i want to get a jump on my future since i'm only 22. I've done some searching/reading on the subject here but its kind of making my head spin. Can anyone point me in the right direction or provide some advice/guidance as to getting me on the right track for the future?
  2. Start saving right now.
  3. MC0493

    MC0493 Active Member

    Yes that's my plan... I'm just looking for some help to get started.
  4. Get enrolled on the 401k and use some of the online resources to point you in the right direction.
  5. MC0493

    MC0493 Active Member

    I'm assuming the link to the 401k and other info is on upsers.com?
  6. Yes it is. Lots of good information on there.
  7. MC0493

    MC0493 Active Member

    Alright thanks, i think i got to the right place. Signing up on Prudential now.
  8. Congratulations young man.
  9. By The Book

    By The Book Well-Known Member

    Have 10% put into your 401k for now. Every progression(1 year) raise it 3%. If you're single only claim one dependent . Which investments you put your money in has to be your choice. Some investors can stomach higher risk than others. The point is to start now and forget about it and just manage it.
  10. UPSER110

    UPSER110 Active Member

    Are you full time or part time? Start saving as much as you can afford. Increase your 401K by 1% till it hurts. Start learning about the time value of money. Ideally if you could start maxing it out you would retire a multi millionaire.

    Their are different funds that are managed depending on a projected retirement year.
  11. MC0493

    MC0493 Active Member

    I am a full time package car driver and i was thinking of starting at 10% for now until i see where things fall. Just not sure if i should do it pre tax or roth. I'm leaning towards roth on the thought that taxes will probably go up by the time i retire.
  12. He also needs a cash reserves. You know how it goes when you are at the bottom of the list. Feast or famine.
  13. Maybe split it?
  14. MC0493

    MC0493 Active Member

    Possibly, quite confusing, i'll have to do some googling and research.
  15. Educate yourself. But in the meantime,enroll in the 401k. Even if it's 1%, while you figure it out.
  16. MC0493

    MC0493 Active Member

    I plan to get it setup with 10% today one way or another and just get the ball rolling.
  17. You can change the percentage anytime you want to.
    I encourage people to invest but I don't like to tell them how to invest.

    A few things you should think about.
    1 what goals do I have? .. maybe a new car,saving for a house or wedding?

    2 do I have enough cash to pay my bills if work gets slow?

    3 what is my tax bracket? Am I better off in the Roth or pre-tax ...or a little of both

    Good luck my friend
  18. MC0493

    MC0493 Active Member

    Yea deciding where to invest will be the hard part. And if i recall ups doesn't offer any contributions into your 401k correct? And thanks for the help.
  19. UPS doesn't match because they pay into a pension plan for you .

    If I may suggest. Put the money in a 2055 or 2060 fund until you figure out

    You can change the investments at anytime.
  20. MC0493

    MC0493 Active Member

    That's what i thought. I already have it setup and pending for now. I'll take another look at those options when i get approved. Thanks again.