36 min
5 Steps to Become the 401k Millionaire Next Door Money Peach
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- Self-Improvement
Benjamin Brandt, host of the Retirement Starts Today Radio Show and Founder/CEO of Capital Wealth Management is coming on the show today to talk about the 5 steps to building wealth inside your 401k.
Believe it or not, $1 million may seem like a lofty goal by today's standards, but will it be enough if you're planning on retiring 20-30 years from now?
Here are the 5 steps we will discuss during the show:
Step 1: Start Saving Today
The money you will be living off of in retirement is not from the money you are setting aside today. It's from the money that your money will be making in the form of compound interest.
Step 2: 10% -15% Invested
Start off by saving 10% - 15% of your income. Then, every time you get a raise, split the raise: half goes to you and the other half goes to your 401k.
Step 3: Always Get the Employer Match
97 percent of employers offer a company match. How much is the match, is it a tiered match, and how do you find this out? Remember, the employer match is truly FREE money for your nest egg.
Step 4: Invest Into the Right Funds
Not everyone will be investing into the same funds. Some of us retire next year and other will retire in 30 years from now. Knowing what to invest in based on the level of risk and time you have left is crucial.
Benjamin gives some great insight on what you should be investing in depending on age vs risk vs reward.
Step 5: Keep Your Hand out of the Cookie Jar
There are three ways you can access money from your 401k, and only one of them is correct.
The correct way: wait until you are in retirement and access your nest egg penalty free.
Wrong way #1: early withdrawal and pay a hefty penalty
Wrong way #2: take a 401k loan
Benjamin breaks down why you want to avoid tapping into your 401k until you are at retirement age and most importantly why this is not a good idea.
***
All the show notes and links Benjamin mentioned can be found at https://www.moneypeach.com/session135
***
If you would like a plan on how to create a budget, save more money, and pay off debt, I would love to work with you.
I am currently taking applications for my next live coaching program. Head on over to https://www.moneypeach.com/apply to learn more about how you and I can work together and the results you will get.
Apply Now
Benjamin Brandt, host of the Retirement Starts Today Radio Show and Founder/CEO of Capital Wealth Management is coming on the show today to talk about the 5 steps to building wealth inside your 401k.
Believe it or not, $1 million may seem like a lofty goal by today's standards, but will it be enough if you're planning on retiring 20-30 years from now?
Here are the 5 steps we will discuss during the show:
Step 1: Start Saving Today
The money you will be living off of in retirement is not from the money you are setting aside today. It's from the money that your money will be making in the form of compound interest.
Step 2: 10% -15% Invested
Start off by saving 10% - 15% of your income. Then, every time you get a raise, split the raise: half goes to you and the other half goes to your 401k.
Step 3: Always Get the Employer Match
97 percent of employers offer a company match. How much is the match, is it a tiered match, and how do you find this out? Remember, the employer match is truly FREE money for your nest egg.
Step 4: Invest Into the Right Funds
Not everyone will be investing into the same funds. Some of us retire next year and other will retire in 30 years from now. Knowing what to invest in based on the level of risk and time you have left is crucial.
Benjamin gives some great insight on what you should be investing in depending on age vs risk vs reward.
Step 5: Keep Your Hand out of the Cookie Jar
There are three ways you can access money from your 401k, and only one of them is correct.
The correct way: wait until you are in retirement and access your nest egg penalty free.
Wrong way #1: early withdrawal and pay a hefty penalty
Wrong way #2: take a 401k loan
Benjamin breaks down why you want to avoid tapping into your 401k until you are at retirement age and most importantly why this is not a good idea.
***
All the show notes and links Benjamin mentioned can be found at https://www.moneypeach.com/session135
***
If you would like a plan on how to create a budget, save more money, and pay off debt, I would love to work with you.
I am currently taking applications for my next live coaching program. Head on over to https://www.moneypeach.com/apply to learn more about how you and I can work together and the results you will get.
Apply Now
36 min