401k rate of return question | TigerDroppings.com

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TheFolker
Kentucky Fan
Member since Aug 2011
3032 posts

401k rate of return question



I have had a 401k for 5 years. What would you consider a good rate of return to date over those 5 years? I am a financial novice.






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SaDaTayMoses
LSU Fan
Da Platte
Member since Oct 2005
2437 posts

re: 401k rate of return question


> 15%





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TheFolker
Kentucky Fan
Member since Aug 2011
3032 posts

re: 401k rate of return question


Thank you. I was go over my statements and didn't really know what was considered "good".





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tigerrocket
LSU Fan
Member since Aug 2008
90 posts

re: 401k rate of return question


It depends on how it was invested within the 401k and what your investment objective was for those 5 years.





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GoCrazyAuburn
Auburn Fan
Member since Feb 2010
15008 posts

re: 401k rate of return question


What risk tolerance are we speaking too? Are you aggressively allocated, balanced, conservative?





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TDsngumbo
LSU Fan
Member since Oct 2011
5466 posts

re: 401k rate of return question


Mine was 14% last year fwiw.





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Lsut81
USA Fan
Member since Jun 2005
64939 posts
 Online 

re: 401k rate of return question


I just rolled mine over to an IRA, so I don't know what my 5yr return was.

I know in the last year, it was at 17%






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KG6
LSU Fan
Member since Aug 2009
2599 posts

re: 401k rate of return question


I've only been in my 401k for around 3 years, so I don't have any first hand experience as far as longevity, but from what I've read, almost all funds will return 6%-9% over there lifetime. You will have years that you do a lot better than that (I had 16.7% this year) and you will have your bad years (last year for me).

When I started investing with with Merrill Lynch, they showed me their conservative, moderate, and aggressive fund rates of return. All were 6%-9%. Aggressive is just more volitile. When the years or good, it's 20%, when it's bad, you lose money. The trick is moving from aggressive to conservative at the right time in your life.






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