|
Company pension plans, such as 401(k) Plans, should be funded to the max if possible. Obviously, if you are still in debt this will be difficult. The key in this case is to fund as much as you can, but at the very least, put in the minimum amount that will trigger a company match. Matching funds are an immediate return on your investment.
If your employer matches 100% up to a certain limit or percentage of your salary, by putting in the required amount you are, in effect, doubling your money immediately. That would take 7 years if you averaged a 10% annual rate of return. Don't say "no" to free money.
|
