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Home 2018 October 11 11 Expert Tricks for $1 Million Just Using Your 401(k) Plan

11 Expert Tricks for $1 Million Just Using Your 401(k) Plan

Start small and increase your contributions each year

If you’re like most Americans and cannot afford to stash away $18,500 a year when your career is just starting, begin by making smaller contributions, and each time you get a raise, increase your contribution by 1 or 2 percentage points.

One of the keys to saving more is to avoid lifestyle creep, says Jeff Jones, a certified financial planner in Huntsville, Alabama.

Don’t immediately upgrade your lifestyle every time you get a raise. Instead, try to live below your means, and notch up your contributions every time your income rises, he says. You can also take all temptation out of this decision by opting into auto-increases on your 401(k) account.

Oct 11, 2018Tudor Zaharia
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