The Unfortunate Truth About Maxing Out Your 401(k)
If you're able to max out your 401(k) contribution, you're in an enviable position. It's no small feat to be able to sock away $20,500 toward your retirement this year. And while getting as much money as you can into a tax-protected retirement account is typically a good idea, it does have some downsides.
Here's the unfortunate truth about maxing out your 401(k).
The typical 401(k) plan charges a lot of fees. Those fees come in a few flavors -- administrative, investment, and service fees -- and they add up. The average 401(k) participant at a large company pays about 0.88% of their portfolio in fees every year.
Source Fool.com
