Retirement Investment Options For Your 401k

Hello, I work for Medline and they offer me a wide variety of choices for my 401k account. Your job might offer these as well but with anything related to your financial future you must do your own research. I am not a licensed broker and this is merely my experiences and research.

Both of these funds offer dividends and have a good track record of positive gains. When looking at an investment option for your retirement account you want to pick investments have show positive growth over the last 10 years and offer dividends. The vast majority of 401k programs out there only investment in stocks that generally safe and offer no dividends. You get your check once they sell off a percentage of stock each month. With the options below, you earn dividend income monthly that gets reinvested back into your account. By the time you retire, and we all hope we have this much, but you should end up with $200k-$500k invested. Starting early is key here and if possible, start at the age of 17 with your first job. I wish I would of done this back when I was younger but this kind of information wasn’t readily available due to the internet being so new.

If you start early, I suggest investing on a trading platform like fidelity and buy dividend stocks like the ones in my portfolio and invest as much as you can. Then when you move into your career, invest as much as comfortable can into your 401k and investment account. This way when you retire you can live off your 401k check and dividend income per month. I currently put away $600 into my 401k account each month and $200 into my investment account each month. Once my wife finishes school and gets a job herself I plan to double my 401k account and triple my investment account.

Vanguard Small-Cap Growth Index Fund Institutional Shares

VSGIX |0866
Expense Ratio – 0.06%
Price: $66.97
Yield: 0.57%

This low-cost index fund offers exposure to small-capitalization U.S. growth stocks, which tend to grow more quickly than the broader market. The fund seeks to track a growth-style index of small-sized companies. One of the fund’s primary risks is its focus on the small-cap arena, which is an often-volatile segment of the market.  Investors looking to add a passively managed, small-cap growth allocation to an already diversified portfolio may wish to consider this fund.

Vanguard Equity Income Fund Admiral Shares

VEIRX |0565
Expense Ratio – 0.19%
Price: $85.48
Yield: 2.82%

This fund is designed to provide investors with an above-average level of current income while offering exposure to the stock market. Since the fund typically invests in companies that are dedicated to consistently paying dividends, it may have a higher yield than other Vanguard stock mutual funds. The fund’s emphasis on slower-growing, higher-yielding companies can also mean that its total return may not be as strong in a significant bull market. This income-focused fund may be appropriate for investors who have a long-term investment goal and a tolerance for stock market volatility.