One of the most popular vehicles in so-called investing is the 401 (K). Many people contribute to it, but few of those benefit or will ever benefit. So here is some of the features when digging a bit deeper.
1-It is only tax deferral or even more accurately, income deferral.
2-Do you really want to be in a lower tax bracket in the future, if not, then why defer the inevitable with the tax on your 401 (k).
3- The Goverment can change the rules and has.
4- An exise tax called the Sundry tax was initiated in the 90’s for those that had “too much money” in their 401 (K).
5- Limited investment options.
6- When can you access the money?
7- Does it have anything to do with or does it enhance your Soul Purpose?
8- How does a partnership sound that goes like this: You put in the money, figure out how to make the investment work, if you want out there will be a penalty, and the amount you get to keep depens on your partners economic circumstance? This partner is the government.
Just because it is popular doesn’t make it your best choice.
I'd like to hear your thoughts.
References: Garrett Gunderson