Hi fishes, I have a 401k question. The 401k my company offers has returned -4% this year.. meanwhile my brokerage investments have done well. At what point is it better to foregoing the tax benefits of a 401(k), and contribute post tax directly to my brokerage account (invested at a good return). I realize this equation is dependent on the 401(k) return rate, brokerage return rate, and my tax bracket. But just looking for a general ballpark if anyone’s considered this before.

like
Posting as :
works at
You are currently posting as works at

What investment options does your 401k account offer? You make it sound like you only have one option, which would be strange. What is it invested in?

likesmart

If it started at a bad point, it may have the down from a couple weeks ago and may not have updated. It’s just a timing thing. Long. Run, it doesn’t matter.

like

Many 401k plans offer an S&P 500 Index Fund with low fees (along with a dozen or more other options). Does yours only offer a single option? How did it perform last year? Are the fees reasonable?

like

It’s a new plan, I posted the details in a comment above. Thanks, yes I think I’ll need to check if there are other options. I’m still wondering if a high return in my brokerage could beat pretax in s&p. I guess the brokerage would have to be a really good return to make it worth foregoing the tax savings (and beating s&p). This might be too hypothetical but I’ve been wondering for a while :)

What is your 401k invested in? If it’s in low cost, broad market index funds, just continue to DCA over your career and build up a large base. My 401k at Vanguard has averaged 10% gains over the past 10 yrs

like

Thanks, that’s good advice. Yes I think I’ll check out if there’s any way to change funds and either way check the long term performance of the fund I’m in

Does your company match? That alone is guaranteed return.

like

Unfortunately they don’t, but yes when I was at a company that did it was an easy decision. I guess that’s why I’m only facing this contemplation now

Thanks all for the advice! I’d been floating this in my head for a while now and these are great tips and considerations 👍😀

Related Posts

Anyone working at Revolut- could you please share growth, culture, benefits prospects?

like

Deloitters - what’s your experience with tuition reimbursement when you got hired (at what service line were you)

like

Traditional 401k vs. Roth 401k, should I be doing Roth instead?

like

Prepping to ask for a raise as a female strategist in Toronto with 8 years industry experience. Making $85K with decent benefits and vacation. Any suggestions on what to ask for and how to ask?

Does anyone have the Delta AMEX? Are the benefits worth it?

like

Which company manages PwC 401k plans? I’m trying to rollover but support is really not being helpful.

like

My wife and I would like to retire at age 50 (or earlier). We’re in our early 30s. We’ve been maxing out 401ks and IRAs for years and started contributing 20k a year into a taxable account to start filling the gap since we can’t access 401k until 55. At what point should we be reducing 401k/IRAs and redirecting to the taxable account? Otherwise our income balloons late in life. Curious how others are managing this.

like

Can Someone helps the perks given by Deloitte usi 1) Amount of Insurance Coverage 2) Car On Lease 3) phone reimbursement over and above CTC 4) Budget for Phone. PwC give 27000 for phone upto manager level 5) any other benefits which I may not be able to think now

like

My 401k is split between 3 funds - large cap growth, large company index, and total stock market index. 26 yo. Do I need to diversify or is this okay for now ?

like

Got an offer from another B4. What pieces of comp/benefits are actually negotiable? Base, sign-on? And if they won’t negotiate on those two, what else can be discussed? Thanks in advanced!

like

What firm has the best MBA tuition reimbursement program?

like

Does anybody else wish that the Firm just gave a per diem for travel and meals as opposed to just an Amex allowance. I never even come close to the $100 a day allowance when traveling.

like

Hi guys, I know this has probably been asked multiple times but need a fresh wind of advice. Shall I switch from pre tax to post tax/Roth contribution for reminder of the year? Not sure what’s the benefits are of each. If I anticipate my income to go up, shall I max Roth now?

like

Does anyone take DE? Are there actual health benefits like people say?

like

Looking to break into the broader healthcare industry from pharma consulting. Which non-pharma healthcare companies value pharma experience / don’t exclude it as part of healthcare experience? (Many companies want provider/payer experience). Targeting Senior Manager roles (5 YOE + MBA)

like

Starting at Deloitte soon. Expecting a kid in June.. would I be eligible to take paternity leave even though I haven’t been employed for 12 months? Thanks!!

likehelpful

Because of the snowball effect, should I put 100% of my investment money into an S&P 500 index fund? After I max out my 401k (not that my intern self has that🤣 lol)

like

My former company is being acquired and is making me rollover my Roth 401K to my new company’s 401K or to an IRA. Any advice?

like

What industry opportunities are available for a healthcare consultant with policy expertise and some experience in HIT? I have 5.5 YOE in consulting, 2 health related masters MPH Epidemiology and MSW Social Policy from an Ivy League. I’m don’t mind the WLB in consulting but I’m just tired of the environment and want to do something meaningful that pays well.

like

Hi I am pregnant this year. Which health insurance is best for pregnant ladies? Thanks

like

Additional Posts

S& fishes, if I want to do Pharma & LS strategy, what is the role I should apply to (as a Sr. Associate)? The only role I see open in PLS is in Ops Strategy - does this mean only working on operations in this space? What is the keyword I need to look for - Enterprise strategy? Corp strategy? Or does it not matter as long as I choose the right vertical? Completely unrelated, can anyone tell me if they accept H4 EAD's if the role is not eligible for visa sponsorship? TIA!

like

Really afraid that MBAs will go back to remote and that I will waste the opportunity to get the time of my life

like

Can COVID be transmitted through water?

like

Why do some people say that the senior level at big tech (e.g., L6 at AWS) correlates to senior manager level at big 4? I get it from a comp perspective since comp is just that much higher. But from a scope/skills perspective, I find it hard to believe that L6 is closer to SM than it is to SC. Asking cause I have a senior level offer in big tech. Amazon, AWS, Google, Facebook, Apple, Microsoft

like

I have two Big Pharma Associate Director job offers: 1) Medical Affairs, 2) R&D Strategy. Which function in Biopharma offers the best career trajectory? I’m a MD with 2 YOE in consulting.

like

Thoughts on joining EY Advisory PI or Guidehouse as a manager 2. Salary and sign on are exact same.

like

Just heard coronavirus found in Thanksgiving Tower, Comerica Tower, and BOA Tower in Dallas. Downtown has fallen. Time to make like a tree and...

like

What level does PwC UK bring in MBA hires? In the US, they come in as Senior Associates — curious if it’s the same in the UK.

like

Going through a difficult time in my life (e.g. breakup, family health issues) and it's messing with my work. 🐠, apart from taking PTO, any tricks to help compartmentalise personal issues from work?

like

Does consultant level at Deloitte get variable comp? I joined after the Bonuses were given out and am curious about next year.

likesmart

Get on a strategy S&O project now, try and transfer in, and give up promotion to SC in DD next year? My friend is telling me to target SC in DD then transfer, but i have an opportunity now to be on..

like

All I want to do is curl up in bed with hot tea and a good book. Recommendations for if I ever achieve said dream?

like

Could anyone please tell me about the recruitment process for BCGDV (BCG Digital Ventures) ? I passed the 1st round and have a 2nd round with a Lead but unsure if there is a case study. Asked my HR coordinator who said it will be 45mins on past experience and competencies but no need to prepare. Still not sure about case studies and if yes, what type? Thank you

like

Any fish play acoustic guitar and would like to give me lessons (on Zoom, will pay)

like

What do you think: Teachers should/should not discuss their opinions and ideas around sexuality, gender, and religion with students.

Project from hell and leaders who are monsters. A email that looks like a long lost friend. (LOOP - PROVIDE FEEDBACK ON MANAGEMENT AKA LEADERS)

likefunny

I will be joining Amazon at L6 level. How many sick days do we get in Seattle location? Whats the policy

like

EY moves to unlimited PTO and adds a bunch more holidays. Your move, KPMG. ❤️❤️❤️

likefunnyhelpfuluplifting

Could use some 🐠 advice here! Two outstanding offers: - KPMG: Procurement Consulting Practice - Accenture: Business Intelligence Practice Both offers are comparable. What’s important to me: project variety, culture, growth, and wlb. I understand there are trade-offs, but which firm would be the best holistically. Any and all feedback is welcome!

like

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
Download Fishbowl to see what others are saying
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the Fishbowl app

Get realtime notifications and see
what's happening in your industry
from the palm of your hand.