Here's a Very Good Reason Not to Contribute to Your Company's 401(k)
You'll need savings to manage your living costs in retirement. Sure, you could fall back on Social Security to some degree, but those benefits should not be your only source of retirement income.
The benefits you collect from Social Security will generally replace about 40% of your former paycheck (assuming benefits aren't cut in the future) -- and that assumes you're an average earner. But most seniors need about twice that amount of income to cover their expenses and have enough money left over to keep busy. That's where your savings come in.
If you have access to a 401(k) plan through your job, you may be inclined to sign up for it and save for retirement that way. But that's not necessarily your best choice. And if your company's 401(k) plan is missing one key feature, it could pay to save elsewhere.
Source Fool.com