I changed the contribution rate to my 401(k) today. Previously 12% of my pretax income was being diverted to the 401(k) despite only 4% of my income being matched by the employer. I reduced the rate from 12% to 4% so I could still get the complete company match while allowing me more cash. This should help my cash savings which has not been growing as much as I want.
I would have made this change earlier, but since I have access to “insider information,” I’m only allowed to change certain contributions to my 401(k) during special “trading windows.”
Updated March 5, 2014 and originally published February 12, 2005. If you enjoyed this article, subscribe to the RSS feed or receive daily emails. Follow @ConsumerismComm on Twitter and visit our Facebook page for more updates.