(March 5, 2009) – Even in these tight times, with the stock market dropping, continue to take advantage of your 401-k plan. Some folks will see this as a buying opportunity and will buy stocks. Other folks want to preserve capital and will turn to bonds.
I can’t advise you on which approach, or if a balanced account of both, is best.
But many employers match a certain percentage of your salary. This is free money to you – don’t pass it up. Invest in the 401-k up to the employer’s match and take advantage of the extra dough.