Thursday, August 24, 2006

You're Right...I'm Wrong

Thanks to all of my readers who pointed out that I'm a complete idiot and left money on the table by frontloading my 401(k) contributions. What I really should have done was to contribute at least 5% per pay period for the rest of the year to take advantage of the company match. As it stands, I'm losing out on $2,000 of free money. But in my defense, I thought I was going to quit my job this year and go back to school this fall. So frontloading was the only way I could have contributed the maximum amount before I left the company. Live and learn.

As for next year, I'm going to have to frontload my 401(k) again because I'm planning on starting grad school full time in the fall. C'est la vie. The $2,000 match isn't enough to keep me on the job for another year.

1 comment:

Tom said...

Not so happy as to be right as to hear that a mistake has been avoided! :-)