/biz/ - Business & Finance

I have mine up to 9% OP, and will have it at 18% by next year. I personally think 401k beats IRA and investing in the market until you have roughly 300-400k in there. The reason is because you don't pay taxes on the money until it is withdrawn. Currently, the money that goes into the 401k for me is taxed at 25%, so I'm getting to keep that portion ($250 on every $1,000) and it earns interest for 35 years until I start withdrawing.

Don't believe me? Attached is the literal math showing that a 401k beats an IRA.

I personally would never invest in an IRA. The IRA offers you 25% savings on your earnings, as ssaved taxes, but the penalty is reduced liquidity. If you have literally so much money and nothing to do with it, sure put it in an IRA, but locking up your money until 60 is not something I'd advise.

>>1414257
Vanguard doesn't charge fees on holding my 401k unless I quit my job, in which case it turns in $25/year