It’s not unusual to come across plans of that size with total cost exceeding 3.25% of plan assets per year which is a devastating tax on future accumulations. In that case, I wouldn’t invest one penny over what it takes to get the match (if any).
In contrast, we are putting clients into retirement accounts that end up costing 1/3 *OR LESS* of these costs, *AND* have protections against losses in market down years, yet STILL get market gain years and average 6-8% TAX FREE!
Anyone who still funds their working retirement nest egg into a 401k anymore is only doing so out of lack of awareness of their superior alternatives.
David Donhoff, Advisor
(425) 223-4520 desk
(425) 652-1001 cell