Comment on Why would someone desite a pension instead of a 401k?
Sanctus@lemmy.world 10 months ago
401ks have way too much fluctuation and uncertainty. I’ll take the stable pension any day. But IMO the stock market is unethical and should be destroyed.
andyortlieb@lemmy.sdf.org 10 months ago
I put a good chunk of my 401k in CDs.
IsThisAnAI@lemmy.world 10 months ago
That’s a terrible strategy. You are going to cost yourself years of retirement.
MantisWaffle@lemmy.world 10 months ago
Feel free to elaborate.
IsThisAnAI@lemmy.world 10 months ago
4.5% vs 15%. CDs in particular have been garbage for the past 3 years even more than usual with the unstable rates.
Zannsolo@lemmy.world 10 months ago
Even if you were retirement age that’s a bad idea
huquad@lemmy.ml 10 months ago
CDs nuts! Ha got him!
BombOmOm@lemmy.world 10 months ago
Unless you are retiring in the next decade, it is highly advisable to invest a 401k in the stock market. You get significantly higher returns over the long run. And any losses due to a recession are more than made up for by the significantly higher returns every other year.
When you are nearing retirement (5-10 years out), that is when you want to put the money into something safe and stable like CDs. That way if there is a recession as you retire, it won’t affect your fund.
GBU_28@lemm.ee 10 months ago
Please give this another read over