What are YOU doing with your 401(k) right now?

[Le duke]

If you were planning to maximize your earnings on a 401(k), TSP, etc. for this year's contributions, what are you thinking about your allocations right now?

In an ideal world, with normal year over year gain, I simply dump 1/24th of 23,500 into my 401(k)/TSP every pay check. Typical dollar cost averaging.

But, with markets crashing right now, what are you planning on doing? Increasing contributions until you max out early? Holding firm? Decreasing?

 

[red viking]

16 minutes ago, Le duke said:

If you were planning to maximize your earnings on a 401(k), TSP, etc. for this year's contributions, what are you thinking about your allocations right now?

In an ideal world, with normal year over year gain, I simply dump 1/24th of 23,500 into my 401(k)/TSP every pay check. Typical dollar cost averaging.

But, with markets crashing right now, what are you planning on doing? Increasing contributions until you max out early? Holding firm? Decreasing?

 

I've done nothing. A lot can still happen, especially since these tariffs aren't even legal. There was no national emergency, which he had to declare, to implement this. 

[Paul158]

Since I'm retired, I am doing nothing. My 401k is down 1.34 percent for the year. Which is really good.. It also held really well under Covid. I never lost any of my investment just my gains. It bounced right back after Covid.

[TylerDurden]

Because I'm not particularly close to retirement age and have my own business, I have a variety of retirement accounts. Some from when I was part of the corporate world, some after - so a mix of 401k/IRA/Brokerage accounts. 

The 401k's time horizon is long and it's not an actively contributed to account, so I'm standing pat on that. My cost averages on those accounts are low, so I'm anticipating decent return on those accounts by the time I retire. 

My IRA is contributed to each year, but with the contribution limits being so low, I usually just contribute all $7k at once and don't concern myself with DCA. This year, I'll be buying a dip (or worse). How much is ultimately TBD, but it'll be a discount of some sort and the time to recover is also TBD while we have a chaotic administration/policies in place. 

The brokerage is where I'm focused at the moment. My wife and I are fortunate enough to have some free cash to invest and have been tracking a few different indexes for the past month. I have triggers set to buy XX dollars worth when there is XX% decrease. I have trackers up all day and monitor the after-hours and pre-market trading. I'm avoiding individual stocks so far, but have a few on my radar if the price drops enough. 

Essentially, I'm buying regularly and lowering my cost averages each time. I'm in the red a decent amount on paper at the moment over the past month, but I'm comfortable with that because of my time horizon. I certainly have some concerns about the damage being done to our trade relationships and the ability of our governmental system to return to some semblance of a three-pronged, equal power structure, but when you play the stock market, you assume risk. How much is up to each person. 

To paraphrase Warren Buffett, you only win or lose in the stock market when you sell. 

Edited April 7 by TylerDurden

[Caveira]

34 minutes ago, red viking said:

I've done nothing. A lot can still happen, especially since these tariffs aren't even legal. There was no national emergency, which he had to declare, to implement this. 

Don’t you get most of your income off your sugar momma?   Is there really anything for you to do ?

[WrestlingRasta]

Won’t be changing a thing, my retirement is a govt pension and investment in property. There will always be a good market for waterfront vacations. 

53 minutes ago, Caveira said:

Don’t you get most of your income off your sugar momma?   Is there really anything for you to do ?

This board has become a cesspool of garbage….if only we could figure out why. 

[Caveira]

30 minutes ago, WrestlingRasta said:

Won’t be changing a thing, my retirement is a govt pension and investment in property. There will always be a good market for waterfront vacations. 

This board has become a cesspool of garbage….if only we could figure out why. 

Let me know if you figure it out.   Don’t admit you have a sugar momma if you don’t want the cesspool to comment on it.  O

[scourge165]

2 hours ago, Paul158 said:

Since I'm retired, I am doing nothing. My 401k is down 1.34 percent for the year. Which is really good.. It also held really well under Covid. I never lost any of my investment just my gains. It bounced right back after Covid.

So went from +4% to +3% to -1.43? That's a big 3 days of trading.

And your gains are your investment. That's the whole point. It's your protection vs inflation. 

Edited April 7 by scourge165

[scourge165]

I went to about 50/50 cash end of Jan in my brokerage. My Roth is boring. A lot of BRK.B and index funds.

I just bought another 5K shares of NVDA at 87.

Meta at about 485

And then put the rest in BRK.B

If this isn't NEAR the bottom...

Though we may have just slit the feline's throat and tossed off the sky scraper. 

Edited April 7 by scourge165

[mspart]

I dropped out of the market 2 weeks before this big drop after losing nearly 10%.   My probramj makes you wait 15 days before making another change so I was still out when it wen up and then down and then really down, now waiting for this to bottom out.   It's looking rough for the third day.   It is quite abit below where I got out so hopefully I get back in near the bottom.   I'm near retirement and am trying to get my 401k to a certain level before I pull the plug.   Dangerous game I know.   But my 401k would be seriously harmed if I had stayed in.  

mspart

[scourge165]

1 hour ago, mspart said:

I dropped out of the market 2 weeks before this big drop after losing nearly 10%.   My probramj makes you wait 15 days before making another change so I was still out when it wen up and then down and then really down, now waiting for this to bottom out.   It's looking rough for the third day.   It is quite abit below where I got out so hopefully I get back in near the bottom.   I'm near retirement and am trying to get my 401k to a certain level before I pull the plug.   Dangerous game I know.   But my 401k would be seriously harmed if I had stayed in.  

mspart

Being out of the market right now makes you one of the lucky ones. Everything is on sale(assuming we find...SOME reasonable if not middle ground, SOME compromises). 

You can jump back in at anytime now though?

I'd load up on TSM and INTC stock. INTC just got a new CEO(they were just run abysmally) and TSM being...so far ahead in their chip manufacturing, that joint venture seems to be exactly what Trump is going for(this actually makes some sense). Plus, TSM is down...I don't even know, I don't want to look, but they were just at 225 and INTC is down 300% since 2020.

Though...I suspect you're looking for lower risk at this point.

 

BRK.B and Warren Buffett just...don't seem to miss. He was criticized when he had record levels of cash late last year(IIRC). He's sitting on 350M just waiting to put that back into the market when there's a little more clarity. Really amazing when you go back and look at the times he's had the most cash available to him. 

[billyhoyle]

Assuming you have an employer match, you should not increase your contributions and max out early, because most places will not give you the full match if you do. You could try to be tricky and front-load it to some degree (but not enough so that you won't get the full match). 

 

Instead, what I am doing is contributing to my IRA faster than I normally would (have been doing this for the past week).  I will also begin to invest some extra money into an after-tax brokerage account if the market continues to fall. 

Edited April 7 by billyhoyle

[JimmySpeaks]

3 hours ago, Caveira said:

Let me know if you figure it out.   Don’t admit you have a sugar momma if you don’t want the cesspool to comment on it.  O

If only there was a way for people not to read stuff on a cesspool site. Oh wait there is.  

[Caveira]

Just now, JimmySpeaks said:

If only there was a way for people not to read stuff on a cesspool site. Oh wait there is.  

Mooches tend not to have a lot invested in the markets.   I guess ha.  

[bnwtwg]

2 hours ago, billyhoyle said:

Assuming you have an employer match, you should not increase your contributions and max out early, because most places will not give you the full match if you do. You could try to be tricky and front-load it to some degree (but not enough so that you won't get the full match). 

 

Instead, what I am doing is contributing to my IRA faster than I normally would (have been doing this for the past week).  I will also begin to invest some extra money into an after-tax brokerage account if the market continues to fall. 

Not sure what employer doesn't match based on schedule unless it's a mom & pop that can't afford it, which I have a large number of reasons to avoid.

I frontload mine every year now. It's a big game sales hunter approach - no paycheck for a minute at the beginning of the year, but I get it over with and then the match happens and then every two weeks is smooth sailing. If I'm a loser in the Game Of Thrones then I at least have some extra bonus money down the road that I would not have seen if I went equal throughout the year. 

[mspart]

I can get back in anytime, but we have fund, not stocks . 

Today started bad but got better so the losses weren't all that bad.  

mspart

[billyhoyle]

28 minutes ago, bnwtwg said:

Not sure what employer doesn't match based on schedule unless it's a mom & pop that can't afford it, which I have a large number of reasons to avoid.

I frontload mine every year now. It's a big game sales hunter approach - no paycheck for a minute at the beginning of the year, but I get it over with and then the match happens and then every two weeks is smooth sailing. If I'm a loser in the Game Of Thrones then I at least have some extra bonus money down the road that I would not have seen if I went equal throughout the year. 

 

Many match based on contribution/paycheck.  I believe most of the ones that allow you to front-load then do the "true-up" contribution at the end of the year. If that is the case, it doesn't necessarily even pay off to front load because you are losing the matching amount for months. 

[bnwtwg]

1 hour ago, billyhoyle said:

 

Many match based on contribution/paycheck.  I believe most of the ones that allow you to front-load then do the "true-up" contribution at the end of the year. If that is the case, it doesn't necessarily even pay off to front load because you are losing the matching amount for months. 

It is a strategic advantage in my particular position, and I would recommend others do the same. It's long term versus short term. I recognize not everyone can withstand the pain like I could if they lost their job today, but the gains are worth the short sacrifice.

[JimmySpeaks]

Magnificent 7 baby!!!! 

[scourge165]

4 hours ago, mspart said:

I can get back in anytime, but we have fund, not stocks . 

Today started bad but got better so the losses weren't all that bad.  

mspart

I've been betting on the Russell for a while now with the cuts, but I do a lot better trying to focus in on a few companies and understand them, but doesn't look very appetizing. 

I'd say the one guy who...if there was ANY doubt is a simple genius, it is yet again Buffett. He didn't foresee this coming(obviously) but he did go heavy into cash not long after the election as he didn't like the valuations. 

I believe he's said it's always better to buy at the top of the market but then conversely, don't try to catch a falling knife. Wait until it starts to turnaround? 

I actually had a...shockingly good day today...but I'm pretty sure it's gonna be wiped out tomorrow and much more in the ensuing weeks until this HOPEFULLY comes to some resolution. 

[JimmySpeaks]

36 minutes ago, scourge165 said:

I've been betting on the Russell for a while now with the cuts, but I do a lot better trying to focus in on a few companies and understand them, but doesn't look very appetizing. 

I'd say the one guy who...if there was ANY doubt is a simple genius, it is yet again Buffett. He didn't foresee this coming(obviously) but he did go heavy into cash not long after the election as he didn't like the valuations. 

I believe he's said it's always better to buy at the top of the market but then conversely, don't try to catch a falling knife. Wait until it starts to turnaround? 

I actually had a...shockingly good day today...but I'm pretty sure it's gonna be wiped out tomorrow and much more in the ensuing weeks until this HOPEFULLY comes to some resolution. 

I had an awesome day today. 2 months from now will be premium time to buy. But as a world renowned history buff that’s all over what’s happened in past down times YOU already know that. 

[scourge165]

5 hours ago, JimmySpeaks said:

I had an awesome day today. 2 months from now will be premium time to buy. But as a world renowned history buff that’s all over what’s happened in past down times YOU already know that. 

Jimmy, the Grown ups are talking here. 

It's cute that you're putting your money from the tooth fairy into "stocks," which I'm sure is what your parents are telling you. 

That said...no, I wouldn't BEGIN to tell someone when to buy. First of all, buy what? 

TSMC, INTC, TM, BRK.B, NVDA, or are we talking NIKE, AAPL, BABA? 

 

Only a fool would pretend to try and time the market...Jimmy. I have no doubt that you are that person who would try to however. 

[billyhoyle]

20 hours ago, bnwtwg said:

It is a strategic advantage in my particular position, and I would recommend others do the same. It's long term versus short term. I recognize not everyone can withstand the pain like I could if they lost their job today, but the gains are worth the short sacrifice.

I'm not talking about long-term vs short-term. My point is just that not all companies will give the full match if you max the account out early, and many of those that do will wait until the end of the year to "true-up" the contributions. If they wait until the end of the year for their match, it pretty much defeats the purpose of maxing it out early (as opposed to spreading it out and investing extra money in an IRA or brokerage account). 

[bnwtwg]

1 hour ago, billyhoyle said:

I'm not talking about long-term vs short-term. My point is just that not all companies will give the full match if you max the account out early, and many of those that do will wait until the end of the year to "true-up" the contributions. If they wait until the end of the year for their match, it pretty much defeats the purpose of maxing it out early (as opposed to spreading it out and investing extra money in an IRA or brokerage account). 

Let me try to clarify my scenario: I am a senior leader that can either move up or move out depending on the political winds that month. I would rather max immediately and lock into the match than risk chipping a little every two weeks. For me, it is risking leaving free retirement money on the table so yes it is long vs short.

I am fortunate to have the ability to max out my contributions early when many people are doing their best to pay for braces and save enough for nice clothes for their kids and I do not lose sight of that. Ever.

[JimmySpeaks]

15 hours ago, scourge165 said:

Jimmy, the Grown ups are talking here. 

It's cute that you're putting your money from the tooth fairy into "stocks," which I'm sure is what your parents are telling you. 

That said...no, I wouldn't BEGIN to tell someone when to buy. First of all, buy what? 

TSMC, INTC, TM, BRK.B, NVDA, or are we talking NIKE, AAPL, BABA? 

 

Only a fool would pretend to try and time the market...Jimmy. I have no doubt that you are that person who would try to however. 

My tooth fairy is rich then so thx.  Who told someone when to buy?   Saying when would be a good time isn’t telling anyone anything other than there’s an opportunity.  Buy what depends on the person and their individual situation.   F u k  you ASSume a lot.   Good thing you’re so smart huh Scrooge. ?????

Edited April 9 by JimmySpeaks