401(k)s Are a Negligible Source of Income for Seniors

[GummyBearz]

63. Have you ever had a 401k?

I've had 3. I see exactly what is deducted from each of my pay checks, I see the employer kicking in a 50% match, I see the money show up in my 401k account without a cent missing. I don't use money managers (which charge fees - but 50% is a joke. More like 2% at worst).

Every dollar that goes into my account is used to buy stocks in companies which make products I use. Every last cent is accounted for and no, 50% of my value has NOT gone back to my employer, or "some place on wall street". The last time I went to a new company had a pretty huge cashier's check in my wallet, which was for the exact amount of my 401k (they didn't take 50% - You must be shocked!).

I could have cashed that check at a bank, but I took it to a Schwab branch, they setup a new roll over account for me, transferred the money into it, etc. Amazing how it works that way... I keep all the money I save plus I get 50% matched from the employer! Its works out to about a 4% pay increase. And I don't have to worry about a company going bankrupt and ending their pension checks 40 years from now! yay!