Teamsters 401k

Discussion in 'UPS Discussions' started by hungrydude5, Oct 29, 2008.

  1. hungrydude5

    hungrydude5 Member

    I'm 22 years old and don't plan on leaving the company. In a few years, my fiance and I plan on getting married because she and I want her to finish college first and then get a job before we do, so that's why a few years. Since the economy isn't doing too great, I'm in a saving mood. I'm putting money in our credit union, no "toys" no going out, nothing. Last night i went to the 401k site through

    I only could do the quick enrollment. I save 8% for now since I don't make a lot, but it's enough. Once I get back into driving (see previous post, long story short got in a Tier 3 accident) I'm going to increase that and my teamsters credit union amount also. My question is about the 401k website. How do you get PIN to access your account and to update things and stuff like that? Only the quick enrollment was available. Will I be receiving something in the mail, I didn't get anything through email yet either.
  2. softshoe

    softshoe Member

    Call 1 800 537 0189
  3. browniehound

    browniehound Well-Known Member

    I envy you position because you will be buying stocks at bargain prices and still have 40+ years until retirement!

    I'm not an expert and really know nothing about stocks. I do know that the stock market has lost almost 40% (the DOW being "the market" for the purpose of my post) of its value within the last year. One of the largest 1-year declines in stock market history. Like I said I don't know all the facts, but it has crashed in the past and has always rebounded.

    You are 22 and this cycle will repeat itself a handful more times (probably and hopefully not to this extreme:anxious:) before you retire. But today you are in a extremely unique postition. These types of EXTREME market downturns are rare.

    Max out your 401k in stocks-funds. After, buy what you can afford in taxable accounts in stocks-funds also. Heck, its a great time to buy a house too! If you have money, now is the time to make it work for you. The market may still go lower, but it can't go much lower (if it does then its the end of the world in my opinion).

    Eventually there will be a large (20-30%) yearly rebound in the market and you be in on that because you started buying stocks on 10-29-2008!

    Good luck and remember 10 years from now that stocks are very risky and plan accordingly with a proffesional.

    I look forward to replies to this post. Am I thinking correctly here? I would love to read a differing opinion. I want to know of alternatives strategies that I'm ignorant to. Thanks in advance,

  4. cachsux

    cachsux Wah

    Your pretty much in the ballpark, Brownie. As far as getting into the 401k I would max it out as much as possible now and you`ll never miss the money like if you try and do it later in life. Right now the low risk stuff is the safest but when the market turns diversify into varying levels of risk to maximize earnings yet keep some in "safer" funds also.
  5. hungrydude5

    hungrydude5 Member

    Thanks for the replies guys! Really helpful. Like I said, I'm only contributing roughly 8% of my total weekly right now on top of the credit union, which I might just stop all together right now until things look up, or one day I might look and see there's nothing in there anymore :wink2: But that 8% is roughly to me is going to be 20 a week out of the paycheck. Not really that bad for 22 years old, just a 4 year veteran of the local sort, hopefully going to be driving soon to put more in. I was advised by the retirees to get started choose the bright future fund. Put 25% in the 2035 fun and 75% in the 2045 fund. I'm not too knowledgeable about stocks, so investing in the market is something out of my league. i would love to learn though, as I do now this is the time to buy as much as you can.
  6. IDoLessWorkThanMost

    IDoLessWorkThanMost New Member

    You should be getting an email from them regarding your account and login information if you signed up. Also, they are pretty good (from my experience) mailing the same information to the address.

    You don't need too much knowledge at your age. Hell I'm 30 and I don't need much at my age. Eventually once you have a decent nest egg, you'll have to start considering spreading the money you're investing around and really figure out what the hell it all means. Just MO though :D

    For now -Put money into about two funds, one aggressive and one mroe stable and let it fester. When the markets low (now), try to max out your 401k whenever you can. Don't worry about what the future holds because we're all in the same ship and the money is basically untouchable. Also don't worry about what your money does day to day, as far as gains and losses.

    The only thing you should be worried about for now more or less is how much you're contributing and managing your contributions. Usually every two weeks to a month I'll tweak my contributions up or down depending on my finances and how the market looks.

    6-9% is a great starting point for a part-time employee. That should give you roughly 20-25$ a week. I'm assuming you are in school and not working another job. if you are working another job, you should probably up it more if you can afford it, especially with the market being so far gone.

    I usually contribute around 6%, or 55-60$/week. This month I'm doing a 15% jump (145-150$/week), and then lowering for x-mas expenses.
  7. browniehound

    browniehound Well-Known Member

    Good luck to you Re-loader! You can become a multi-millionare before you leave UPS at age 59 and 1/2. Keep doing what you are doing. Get at full-time 22.3 job and increase your contibutions.

    Maybe even buy a little UPS stock? With the 10% discount I think you could do a lot worse. Just think, right off that bat you have a 10% margin of error before you lose a cent.

    Once you have enough juice to bid a route, go for it. You will get a significant pay raise and won't be stuck inside the hub anymore.

    You can make a living from a 22.3 job if you are smart and budget accordingly. Once you land the full-time driving you can expect your take home pay to increase from $600/week to around $1000/week!

    I'm not kidding. In the 22.3 you're probably making $21/hr. and are maxed out at 40hrs/week? Full-time driving will net you $28.53/hr and will you be working 4-8 hrs./week in OT.

    Being so young and the prospect of an extra 2K per month over a budget you have been living on for a while, the future looks very bright for you!

    Younger employees please take notice
  8. collegepreloader

    collegepreloader New Member

    Hey that 20 bucks a week (1,040 a year) for 40 years would be almost 270k at age 62 at 8% growth per year on average. Thats the power of compounding. I am in the same boat as you, 23 finishing up college next semester, and I am thinking this is a great time to get in. I just wish they matched funds.
  9. sortaisle

    sortaisle Livin the cardboard dream

    Stay away from the Real Estate funds right now. Invest in energy since apparently it's the next big thing. Also invest in construction companies and engineering firms. Both of the presidential candidates are espousing nuclear plants and they have to be built. Solar and wind energy are getting cheaper to make and it will take off. I wish I had the extra dough to squirrel away. You are the type of younger generation that I wish was more rampant in this world. Good Luck!
  10. IDoLessWorkThanMost

    IDoLessWorkThanMost New Member

    Well thats lowballing it. accounting the 15 cent/hr differential, my rate is 23.12/hr and will be 23.47/hr Feb 1st. Avg take home is around $1000 with 1/2 hour to 1 hour OT a week, from which the 401k skims.
  11. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    The 401k comes out before the taxes. Yes, it does affect your take home, but you can make some adjustments to your W-4 to ensure that you take home stays the same. For example, I have 25% coming out weekly and I increased my Federal allowances to 7 and kept my state at 1. My take home has stayed roughly the same and the write off I will take on my taxes for the contributions to my 401k will offset the reduced taxes that I have taken out each week so the end result is I should receive about the same refund I received last year. There are many free calculators online which can help you determine the right number of allowances for your particular situation.

    BTW, to the poster who wished that UPS matched our 401k, I also wish that but they do pay all adaministrative fees so that is something.
  12. hungrydude5

    hungrydude5 Member

    Thank you so much guys. No, not in college. School wasn't really for me. Working was the only thing I knew how, and now know how to do. I haven't received an email yet, and I was a bit busy today cleaning up in the cold outside before the snow comes and it gets too cold and busy (Peak) to do anything around the house. Thank you so much again!
  13. satellitedriver

    satellitedriver Moderator Staff Member

    You started this thread asking a simple question.
    It got answered and the thread morphed, as it should.
    Keep it simple.
    Reduce debt to the minimum.
    Buy a house and make it a home, paying it off as soon as possible.
    Save some money for the unexpected emergency.
    Learn, then invest.
    But, most of all, enjoy the journey you have before you.
    We old folks envy the great possibilities before you.
    Take good care,
  14. barnyard

    barnyard KTM rider Staff Member

    I would also suggest looking at other types of 401k accounts. You do not have to contribute to the Teamster plan. I opened an account at Edward Jones and my wife has her's at Fidelity. You can have deductions made automatically into these accounts and you have hundreds of choices for what type of funds you invest in (vs. the dozen or so that the Teamsters offer.)

    The other advantage with using an outside broker is advice. I have a 401k, roth IRA and buy UPS stock. The broker suggested the amounts that I should contribute and suggested appropriate funds for diversity. Fidelity does the same for my wife.

    Also, choose the DRIP option if you buy UPS stock.

  15. collegepreloader

    collegepreloader New Member

    I meant age wise, anyways, goodluck with everything. Check out some financial calculators and the time value of money. You can set goals, for saving for a child's college fund, paying your house off early and how much you will save, etc. I just wish they would teach more finance in school, it is definitely a very important topic, and everyone could use more knowledge about it.