| The advantages are |
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Start early.
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Establish a plan & let time work for the program.
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Contribute at the highest rate practical.
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If possible, do the maximum annual deductible 401(k) amount each year.
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Maximize to the deduction limitation of 25% of compensation or $40,000 (or as
indexed) through an additional profit sharing contribution within the 401(k)
plan.
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In addition, maximize IRA contribution and roll all monies into the 401(k) plan
to manage it better and to minimize administrative costs.
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If over 50 years old, take advantage of any catch-up contribution amounts.
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Diversify investments & invest with a longer time horizon.
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