It seems to me that the employer will fund it either way. Maybe I’m misremembering stories of pensions being mismanaged and lost. I think the most important thing is that the employer actually does something to fund a retirement, in my way of thinking the 401k approach puts me in control of the money so I don’t rely on someone else to not fail.
Whether it’s promised bonuses, stocks, or retirement funds, my motto is always “show me the money”, and I’ll believe it when it’s in my hands.
I put a good chunk of my 401k in CDs.
Edit:
It’s less than an 8th of my fund, just because I don’t like where the market is sitting right now, I’m keeping something secure in case something bad happens to me while something bad happens to the world.
My point was to respond to someone who is morally opposed to stocks. There are other ways to go about it (irrespective of good advice).
That’s a terrible strategy. You are going to cost yourself years of retirement.
Feel free to elaborate.
4.5% vs 15%. CDs in particular have been garbage for the past 3 years even more than usual with the unstable rates.