Need to find your 401(k)'s sweet spot?
Tom Zgainer, CEO of America's Best 401(k), sat down with TheStreet to talk all thing's 401(k) and how you can prepare for retirement.
Here's what Zgainer had to say about how often you should check your 401(k):
Well it's almost like the weather, is it gonna be sunny or cold today? Is it gonna be warm or gloomy? Oh my goodness is that gonna affect my mood? I know, I'm from Arizona, I wanna see blue sky and sun all the time, right? But sometimes it's not. If we look at our 401k statements day to day to day it's up, it's down, it's up and down, you're focusing on the wrong thing. Let time be it's course, take it's course. But certainly a once or twice a year rebalance, or review, to make sure you're on course. The markets change, so for example you were invested in four different funds at 25% each, and the market changes, you become out of balance a little bit. So to get yourself on course, you either wanna have a financial fiduciary in your life, orhopefully your provider gives you resources to help you rebalance your portfolio at least twice a year. That's the best thing. Along with annually for sure, or every chance you get, increase yourself. Give your 401k a raise, a one, two, three percent or so whenever you can afford it. When your net pay is allowing you to live and fulfill all your day to day obligations, and there's something left over, think about putting a little bit of that to your future self. As opposed to the immediate needs we want for our present day self.
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