Financial People 401K Question

[DFA]

I have watched my 401K lose about 30K since the downturn of the economy with Covid etc. What is the best thing to do right now? move it somewhere else, freeze it? not sure what to do, but I have been reading it's only going to get worse, so would really like some insight on what others are doing or planning on doing to protect their 401K.

[7sdad]

I don't know your age but if you don't have plans on retiring anytime soon just let it ride. It'll come back and you have only lost it if you take it out right now. It's down now so buy buy buy.

[BigRed323]

I’m going to continue to watch mine drop and eventually it will go back up.

Like said above, if you take it out while down, you will only lose

[sharpstick35]

If you've only lost 30k then you're lucky. At the worst of it, I lost 120k in a week.
That being said, I would just let it sit. Mine has recovered and then doubled since the beginning of the pandemic.

[tps7742]

.

[RWB]

Unless you plan on retiring in the next 5 years leave it alone and increase your contributions. Your buying things at a discount right now.

[RiverRat1]

Unless you plan on retiring in the next 5 years leave it alone and increase your contributions. Your buying things at a discount right now.

^ Easiest and probably best plan for most people.


1. Past market performance does not equal future market performance. No one wants to hear this but IMO this is the biggest risk. But where else would you invest?

2. You can't afford to sell and not buy back in or you'll be stuck out of the markets and regret it (most likely)

3. You need a good financial advisor. Telling TBH you're down 30k is telling us 1/20th of the info anyone would know to help you.

[bowhntrmatt]

I have about 30 years before I will need mine, so I try to not even look at it, with the knowledge that over time it will be good.
I did recently up my contributions to where it should be right at that 20,500 per year mark plus company match.

[tps7742]

^ Easiest and probably best plan for most people.


1. Past market performance does not equal future market performance. No one wants to hear this but IMO this is the biggest risk. But where else would you invest?

2. You can't afford to sell and not buy back in or you'll be stuck out of the markets and regret it (most likely)

3. You need a good financial advisor. Telling TBH you're down 30k is telling us 1/20th of the info anyone would know to help you.

Good sound advice mentioned above.

[tps7742]

Unless you plan on retiring in the next 5 years leave it alone and increase your contributions. Your buying things at a discount right now.

Sound advice also.

[skyhawk]

I am planning on retiring in 1-2 years, and I have increased my contributions.

Do you buy hunting gear when it is on sale? I do.

[Throwin Darts]

Best thing to do right now is to keep buying

[Bayouboy]

Buy!

[Rwc]

As typed above...BUY, BUT, and BUY some more. You have lost nothing unless you need it now!


Rwc

[HogHunter34]

Not much you can do but like others have said if you have 10+ years until retirement just keep going
The positives are:
You are more buying more shares/$ when market is low
Still making money on company match
Still lowering gross income for tax purposes

When it rebounds as the market always corrects itself you will reap the benefits