Planning

Why a 401(k) May Not Be a Complete Retirement Plan


The short answer

A 401(k) is an excellent way to save. But a balance is not a plan. A complete retirement plan also answers how you’ll create income, manage taxes, protect your family, and pass on a legacy.

What a balance doesn’t tell you

  • Income: How will you turn the balance into a dependable monthly paycheck?
  • Taxes: How much of that balance is really yours after taxes?
  • Market timing: What happens if markets fall right as you retire?
  • Protection: Is your spouse protected if something happens to you?
  • Legacy: How will what’s left pass to your children efficiently?

None of this means your 401(k) is bad — it means it’s one important piece of a bigger picture.

See where you stand: The Retirement Readiness Scorecard checks all five areas in a few minutes.

Have questions about your own situation? Tracy is glad to talk it through with you — clearly and without pressure.

Educational only. Not tax, legal, or investment advice. Services offered only where Tracy is properly licensed.