Secrets of the 401(k) Millionaires

[AnneD]

6. Too much money....

chasing too few profits, from too few companies. Also there is the fallacy that anyone can do it. Pure BS. It take a certain amount to live on. You can only begin investing at a certain income level. Live on 80% of what you make and save/invest the 20% ALL YOUR LIFE. But that denies the realities of life. People get life threatening illnesses, have costly divorces, face periods of unemployment, in other words life happens.

I have been a saver all my life and increasingly, I have been ripped off in my 401's and 403b's as they tend to charge me the highest for the share prices and sell them at their lowest-on top of the outrageous fees that drain what ever profit I did see. I frequently find that I do better on my own and feel better if I make my own choices. I have educated myself over the years in investments and for all that has happened, I am doing better than most. I am looking to retire from my current position and transition into 'retirement' doing a job that I will love.

I made the choice to go into the public sector employment. It was a substantial drop in pay but I thought at defined pension was worth it. The jury is still out on that decision, but our state pension is well funded. That is the basis. My investment are to supplement that base. Thanks, to the governments re-figuring the law-my SS was basically taken from me-even though I contributed enough quarters to have access to that. I have to make very informed choices at this stage in my life and a poor choice can mean living my old age in poverty. Consequently, 401's and 403's are not in the cards. I allocate less to them these days. The only reason I did well in those is because I was actively monitoring them the whole time I was in them.