http://www.echristianfinance.com/2010/01/contributing-to-a-401k-plan/ The Financial Principles of the Bible Mon, 22 Aug 2011 04:21:18 +0000 hourly 1 http://wordpress.org/?v=3.0.3 http://www.echristianfinance.com/2010/01/contributing-to-a-401k-plan/comment-page-1/#comment-24 JoeTaxpayer Thu, 28 Jan 2010 02:39:34 +0000 http://www.echristianfinance.com/?p=193#comment-24 50% match to $3000 is $1500, not $1800. But indeed, the 6% matched becomes 9% which is great for a young person. Better if that person bumped the saving with half their raise each year right until they put in 12-15%. This gets them used to living on less, not increasing their lifestyle with every raise. At whatever income level, the key is living beneath your means. Given the choice, I'd rather save "too much" and find in my 40's that I may be able to retire early, in my 50's (this is my situation) than to risk saving too little and have retirement keep getting pushed out. 50% match to $3000 is $1500, not $1800. But indeed, the 6% matched becomes 9% which is great for a young person. Better if that person bumped the saving with half their raise each year right until they put in 12-15%. This gets them used to living on less, not increasing their lifestyle with every raise. At whatever income level, the key is living beneath your means.
Given the choice, I’d rather save “too much” and find in my 40′s that I may be able to retire early, in my 50′s (this is my situation) than to risk saving too little and have retirement keep getting pushed out.

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