Timed retirement accounts are a ripoff.

By Daniel at 14 November, 2009, 12:02 am

I know people who are smart enough to invest for their retirement, yet pay outrageous management fees for say, a 2015 retirement account or a 2025 retirement account.

Most people should be able to do this on their own. If not, they should educate themselves.

When I left my previous employer, I left my 401K with the firm that manages the funds (index funds– how difficult is that?) so I could continue to benefit from the 0.2% management fee. I know of so many guys who pull their money out of “The Company Plan” because they hate their employer– although the money is held by an independant firm. Although I do hate the pie chart showing how much of my 401K is do to my former employer’s “generous” (snicker) matching– which was dropped to zero before I left.

The economy sucks, we have 10.2% unemployment, yet my 401K is up 29% YTD. I shake my head in wonder

- MexicanBatman