When you leave a job, you're probably focused on cleaning out your desk and saying good-bye to work friends. But taking care of your 401(k) retirement plan at the soon-to-be-former employer should also be high on your to-do list so that you can handle that money responsibly and avoid unnecessary taxes and penalties.
A big incentive for jumping from one job to the next, in a relatively short space of time, is that it makes it feasible to climb up the income ladder. Every time you are offered a new job, it's an opportunity to brush up your salary negotiation skills and seek out better compensation. That said, there might be some ways that job-hopping can hurt your earning power or net worth.
For far too many young professionals, saving up for retirement is the last thing on their minds. However, this careless mentality can lead to dire financial situations later on in life when retirement finally rolls around. Here are four valuable money tips to practice now to ensure a cushy retirement of leisure and travel later on in life.
In the United States, 401(k) is a retirement savings plan provided by the employer. The plan provides employees with the option to defer a percentage of pay toward their retirement account, to be withdrawn at a later time. Retirement plans like these can be a major perk, especially if the company matches some of the employee's contributions. Here's how to get the most out of your 401(k).
More than four out of 10 employees (43 percent) say that they would take a lower salary if they were offered a bigger employer contribution to their 401(k) retirement plan, according to a new Fidelity Investments study. Perhaps even more surprisingly, only 13 percent said they'd take a six-figure salary with no 401(k) match from their employer.