How to Check a 401(k) Balance
It is important to check your 401(k) balance periodically to have an idea of how it is doing in this economy. Every investment portfolio needs to be adjusted periodically and unless you check on it you won't know how it is doing or if adjustments are needed. Also, if your 401(k) investments are professionally managed you need to check to see how the managers are doing---you do not want an unpleasant surprise years down the road. When you check the 401(k) balance, you should have a business attitude and not get emotional if the performance has been bad. You need to make sound business decisions about any adjustments to the 401(k) investments that you feel are necessary and avoid rash decisions that you may regret later.
Other People Are Reading
Instructions
-
-
1
Check your 401(k) statements. Many plans send monthly or quarterly statements that facilitate checking on a regular basis. Learn how to read and analyze these statements. Put them in a ring binder so you will have a history of the performance that you can refer to when doing your analysis. If you notice trends that you don't like over time, having an understanding of your investments will help you make adjustments to improve performance.
-
2
Use available online features. Many plans have websites where you access your account and download information. They have analytical tools and research articles and information to keep you informed on the economy and investment options available to you. While you don't want to make moves too often, you do need to make adjustments periodically and the more informed you are about your options the better.
-
-
3
Contact your 401(k) plan directly by phone. Often there is an automated service available that will tell you the balance as of the close of the last business day. This is convenient if you just want a quick check of the balance. You should also contact your account manager periodically. Establishing a relationship with your account manager can get you personal attention when you need it and he may be able to help you with advice or information concerning your investments.
-
1
References
- Photo Credit opening balance image by max blain from Fotolia.com
