10:10 Economy: 401k Contribution Advice

Just because companies are trimming back their donation, doesn't mean employees should cut back on their own 401-k contributions. Local financial advisor Scott Laue says right now might be the best time to increase your contributions.

"We strongly encourage workers to participate because a match on nothing is still nothing."

He also says now is a good time to take a look at our investment mix to make sure it's appropriate for our age and circumstance. Laue adds, increasing what we put into our nest egg by even a few dollars, could add up big time by the time many hit retirement age.

"There is never a bad time to increase your conributions. We haven't met anyone who has said they had too much money for retirement, so clearly with companies considering cutting back on the company match you have to take control of what your retirement lifestyle is expected to be. And more often than not you would increase your contributions."

401 k plans have no FDIC guarantee against losses. Generally companies use retirement plans as a tool to lure good employees.


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