Comment on Why would someone desite a pension instead of a 401k?
Sanctus@lemmy.world 2 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 2 months ago
I put a good chunk of my 401k in CDs.
IsThisAnAI@lemmy.world 2 months ago
That’s a terrible strategy. You are going to cost yourself years of retirement.
MantisWaffle@lemmy.world 2 months ago
Feel free to elaborate.
IsThisAnAI@lemmy.world 2 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 2 months ago
Even if you were retirement age that’s a bad idea
huquad@lemmy.ml 2 months ago
CDs nuts! Ha got him!
BombOmOm@lemmy.world 2 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 2 months ago
Please give this another read over