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> A 401k without some matching shouldn't be called a 401k in my opinion. I partially agree, but the big difference between a crap 401k with at least one decent
by bretthoerner 10y ago
> A 401k without some matching shouldn't be called a 401k in my opinion.
I partially agree, but the big difference between a crap 401k with at least one decent index fund and a Traditional IRA is that I can dump 18k/yr into the 401k. IRAs phase out quickly and have low deposit/yr maxes.
Considering how often people change jobs these days, the 401k is a way for most people I know to shove 18k/yr into a special bucket so they can move it to Vanguard within a few years when they leave the company.
- tcoppi 10y agoThere are also a few providers that will let you do in-service rollovers to either traditional IRAs or Roth IRAs. Many also don't advertise this, but will do it if you ask(mine is one of these). It is definitely worth asking about if you have crappy funds in your 401k, as is talking to your management about getting a better 401k provider.