The Untold Story
The untold story about 401k, 403b and TSP. We all know the financial system is rigged, but do you know what to do about it? This video will show you what Financial Advisor's and many of the media's so-called "financial gurus" either do not know, or do not want you to know.
Headline news
You may want to avoid your 401k, 403b, TSP or IRA if one the following applies to you:
01
Your investment fees, over the long term, are projected to be greater than your employer match and or tax deduction.
02
The interest that you pay on your debt is greater than the interest that you earn on your 401k, 403b, or TSP account.
03
A cost-benefits analysis calculates that you are likely to get back less than what you have put in, even with employer match.
04
Your current tax rate is lower than your retirement tax rate. In this instance, a Roth 401k may be a better retirement option.
05
You do not want to finance special interest groups or political agendas that do not reflect your values.
06
You cannot afford to lose any money. Generally speaking, money invested in a retirement plan account is not guaranteed.
A threshold question for individuals considering opening an investment account is whether investing is an appropriate step. In some cases, they may be better served by paying off debt or saving.
(2016, FINRA: Report on Digital Investment Advice)
As you prepare to invest, it's important to set aside some money—about the equivalent of 3 to 6 months of living expenses—in an emergency fund.
(FINRA: Start an emergency fund. Source: FINRA Investor Education Foundation)
When you "invest," you have a greater chance of losing your money than when you "save." Unlike FDIC-insured deposits, the money you invest in securities, mutual funds, and other similar investments is not federally insured. You could lose your "principal," which is the amount you've invested.
(Securities and Exchange Commission: Differences Between Saving and Investing)
Your "savings" are usually put into the safest places or products that allow you access to your money at any time. Examples include savings accounts, checking accounts, and certificates of deposit.
(Securities and Exchange Commission: Differences Between Saving and Investing)