‘Rich Dad’ Robert Kiyosaki Reveals Why the 401(k) Is a ‘Horrible’ Retirement Plan (spouse, federal)

[Sunbiz1]

Robert is akin to that Peter what's his name, Schiff?
They always come around when gold goes up, but it certainly doesn't hurt to have a back-up plan; such as gold IRA's.

[leastprime]

Originally Posted by mathjak107

voya too was decent with fidelity and vanguard low cost funds.

we went with voya because administrative fees were less then when we used fidelity for our 401k

So, what was the administrative fees? Who paid?

[jean_ji]

Originally Posted by mathjak107

that’s just it , once any is out to live on , it’s fair game .

so it is protected only as long as it’s not used ….courts have also ruled inherited ira’s and inherited retirement money is not protected so it really is of limited value with rmds

We dont need to use his 401k so in the event it gets tied up it won’t be a hardship. We haven’t started RMDs or touched my IRA or his 401k yet. With SS and DH’s pension there’s been no need. His contract work has been for fun money and savings. He should have put some into an available 401k with the contract company, but he didn’t expect it to last this long. His contract is up at the end of December and he’s hoping it’s not renewed. It’s hard to stop an easy gig with flexibility and good money.

We are not into big risks with investments and tend to be moderate. I choose high risk plans with my 401k early on while working. I saw huge returns and loved it, but one big downturn with a huge loss made me totally middle of the road again. We like easy with moderate increases and moderate risk.

[mathjak107]

Originally Posted by leastprime

So, what was the administrative fees? Who paid?

depends on the plan .

some have the company pay all of them . it can run 10k a year for a custodian if the plan is under a million in it and more if over .

some plains have the participants pay it or a portion , some charge a flat yearly fee to participants or a percentage of your account.

fidelity was cheaper when our plan had under a million , but the company got a better deal from voya as it grew larger and many millions

[mathjak107]

Originally Posted by jean_ji

We dont need to use his 401k so in the event it gets tied up it won’t be a hardship. We haven’t started RMDs or touched my IRA or his 401k yet. With SS and DH’s pension there’s been no need. His contract work has been for fun money and savings. He should have put some into an available 401k with the contract company, but he didn’t expect it to last this long. Hid contract is up in December and he’s hoping it’s not renewed. It’s hard to stop an easy gig with flexibility and good money.

We are not into big risks with investments and tend to be moderate. I choose high risk plans with my 401k early on while working. I saw huge returns and loved it, but one big downturn with a huge loss made me totally middle of the road again. We like easy and moderate increases with moderate risk..

we were always 100% equities until pre retirement.

now we are 50% equities/ 40% bonds /10% cash

[mathjak107]

Originally Posted by jerseygal4u

401K's are junk because employers should ideally provide a pension IMO.

But what do I know, I am just a little worker.

then workers would whine their compensation via pay was less because they are getting a pension they may not ever collect

[leastprime]

Originally Posted by leastprime

So, what was the administrative fees? Who paid?

Originally Posted by mathjak107

depends on the plan .

some have the company pay all of them . it can run 10k a year for a custodian if the plan is under a million in it and more if over .

some plains have the participants pay it or a portion , either a flat yearly fee or a percentage of your account

Ballpark, 'bout 0.7% - 1.% for small plans <~$1mil plus the individual fund (smallish) fee ?

[mathjak107]

Originally Posted by leastprime

Ballpark, 'bout 0.7% - 1.% for small plans <~$1mil plus the individual fund (smallish) fee ?

this is why when our old company had financial problems they had to close the 401k …at that point they couldn’t afford to find another custodian so it was turned over by the custodian to the courts .

then the courts had to appoint one

[leastprime]

Originally Posted by mathjak107

this is why when our old company had financial problems they had to close the 401k …at that point they couldn’t afford to find another custodian so it was turned over by the custodian to the courts .

then the courts had to appoint one

What??
Then, did the fees go up? The admin fees then went up? and taken out of 401k pool?

[mathjak107]

Originally Posted by leastprime

What??
Then, did the fees go up? The admin fees then went up? and taken out of 401k pool?

we rolled the money into our ira’s or the employees took the money once the custodian could distribute it .there was no more plan .

not sure if there were fees from the court appointed custodian and or who paid them .

all i know is we were thrilled to get our money out finally