Right time to invest in a 401(k) plan? Absolutely By Michelle Singletary - Washington Post Writers Group If you are wondering if it’s still worth the worry to invest in a 401(k) or similar workplace retirement plan, stop your hand-wringing.
It is.
Or at least it’s worth it for the people who consistently invest, according to new research by the Employee Benefit Research Institute and the Investment Company Institute.
Yes, it’s been painfully apparent that 2008 was a crushing year for those of us who invest. The average 401(k) retirement account fell 24.3 percent, according to the institutes.
But retirement plan data studied by the groups found that over a five-year period — from 2003 to 2008 — 401(k) participants saw their account balances increase at an average annual rate of 7.2 percent. The calculations include ongoing worker contributions, employer contributions and investment gains and losses. Read the entire article here
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