Most 401k’s can be complex and confusing. Follow these 5 easy steps to get going towards saving for your future.

1. Start Now

If you haven’t started investing in your 401(k), do it now. The sooner you start, the longer you have to have your money grow and work for you. It comes directly out of your paycheck, so you probably won’t even notice it, so go ahead and start.

2. Take Your Free Money

Many plans will match dollar for dollar up to certain percentage, but if you don’t participate, you get nothing. Don’t let the free money pass you by.

3. Save On Taxes

Money you put in comes out pretax so pay less of a tax bill. When you retire and you start drawing it out for income, you can potentially pay less income tax.

4. Know Thy Investments

All 401(k)s are created differently. If you want to be aggressive, don’t pick an investment that’s called “Total Return”. It may actually be an investment that is all bonds, which would be way too conservative for your goals. Have a certified financial planner review your options to make sure you have solid investments that match your risk tolerance. I’ve seen folks that are in conservative investments when they should be aggressive and I’ve also seen folks nearing retirement that are invested way too aggressively. Don’t let that happen to you. Understand what you have

5. Never, Never, Ever Borrow From Your 401k

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