Hello
New to the forum, but have been folowing for awhile and learning quite alot.
After reading about 401(k) expenses on a post, I decided to take a closer look at my wife's 401(k) from Principal. I found the fund expenses to be quite high (.7% was the lowest...most over 1%), but what floored me was the "fees" on the account which are an additional 1.4% of the balance yearly! These are deduced every 3 months based on the balance. Last statement was over $66 for the last 3 months and obviosly growing with each new deposit. This seems extreemly high or maybe this is common?
In contrast, my 403b with Fidelity has a very low maintenance fee and very good low expense options.
Here is my question: We currently do 20% of salary in each account. I have no match, and my wife gets a 4% of salary match. Would it make sense to only put the minimum in wifes 401(k) to achieve match and raise my amount to make up the difference?
My concern is if there are any different rules for 401(k) vs 403b which may effect my decision and also if it is a bad idea to have the bulk of retirement savings going into my 403b and a small amount to her 401(k)
By the way, I am 51 and wife is 50. Thanks for any advice.
New to the forum, but have been folowing for awhile and learning quite alot.
After reading about 401(k) expenses on a post, I decided to take a closer look at my wife's 401(k) from Principal. I found the fund expenses to be quite high (.7% was the lowest...most over 1%), but what floored me was the "fees" on the account which are an additional 1.4% of the balance yearly! These are deduced every 3 months based on the balance. Last statement was over $66 for the last 3 months and obviosly growing with each new deposit. This seems extreemly high or maybe this is common?
In contrast, my 403b with Fidelity has a very low maintenance fee and very good low expense options.
Here is my question: We currently do 20% of salary in each account. I have no match, and my wife gets a 4% of salary match. Would it make sense to only put the minimum in wifes 401(k) to achieve match and raise my amount to make up the difference?
My concern is if there are any different rules for 401(k) vs 403b which may effect my decision and also if it is a bad idea to have the bulk of retirement savings going into my 403b and a small amount to her 401(k)
By the way, I am 51 and wife is 50. Thanks for any advice.