401(k) and 403(b) Investing Web Sites
Employees of companies both large and small have seen the traditional pension plan gradually replaced by 401(k) and 403(b) retirement plans. Traditional pension plans promise employees a specific amount in retirement based on years of service and salary. In contrast, 401(k)s (offered by for-profit companies) and 403(b)s (offered by nonprofit organizations) are contributory plans in which a certain amount is set aside each year in a tax-deferred account, and the amount an employee receives in retirement is based on the size of the contributions as well as the investment performance of the account.
The switch from defined-benefit plans to defined-contribution plans shifts the decisions about the amount to contribute and how to invest from the employer to the employee.
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Where can you turn to find out what you need to know to make the most of your retirement plan? When youve exhausted the information provided by your employer, the following Web sites can fill in your knowledge gaps.
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