Your 401(k) Isn’t an Investment Plan

[Cnon20]

https://money.com/401k-isnt-an-investment-plan/?xid=mcclatchy&utm_source=mcclatchy&utm_medium=rss_synd&utm_content=tms_issue171

[disneysteve]

Click bait title, but accurate assessment. Lots of people make that mistake. They think "I have a 401k" or "I have an IRA" so I'm all set for retirement, except they are putting 100% of their contributions into the money market account so the money isn't going to grow. An account is just a vessel. What you do with that account is what matters.

[srblanco7]

A bit underwhelmed by the article. Introductory level information.

[kork13]

A bit underwhelmed by the article. Introductory level information.

Meh ... Pretty typical of most financial media. Very blah, low detail, low utility.

[QuarterMillionMan]

My employer big government offers a 457 plan with a 4% match. In 2026, they now allow a 401k plan (no match) in addition to the 457 plan (with 4% match). My question is can I contribute the max of $31,000 in each for over 50+ years old for a total of $62,000 per year. I only make $75,000 a year so it'll be hard to max out both but it'll challenge me to save more.

[kork13]

My employer big government offers a 457 plan with a 4% match. In 2026, they now allow a 401k plan (no match) in addition to the 457 plan (with 4% match). My question is can I contribute the max of $31,000 in each for over 50+ years old for a total of $62,000 per year. I only make $75,000 a year so it'll be hard to max out both but it'll challenge me to save more.

I believe the answer is "Yes" .... 457 is deferred comp, and treated completely independent of 401k/403b/similar. Likewise, all of the above are independent of IRAs.

[QuarterMillionMan]

Ok thanks kork. I'm currently doing 5% in the 457 plan and 30% in the 401k plan. Maybe I should increase the 457 to 30% as well.