I have always had a pretty angry relationship with my 401(k).  On the one hand, I get a match of 100% up to 6% of my salary provided by the generous boss-men (anyone know why this is very common?), on the other hand my fund choices are terribly expensive.  I largely ignore the account only updating it once or twice in the past couple years.

My 401(k) Over Charges me For Cash

While I always knew my 401(k) was expensive in terms of fees, it became much more apparent when readers discussed reallocating and rebalancing my 401(k) with me a few months back.  But, time passes and I forgot how much I disliked the account…until last night.

I don’t like writing about my feelings regarding the market, so I don’t do it that often but it is needed for this post.  Every other day we hit a new all-time high for some of the indexes.  This makes mee feel like at some point the big money will take profits off the table causing a slight correction.  I am not saying a 20% correction but one big enough I would like to avoid.

As such, I pulled up my funds lists to see what options I could use to actually put my money where my mouth (er brain) is.  Argh not one short or contrarian fund.

My 401k Investment Choices

So fine…I will put future contributions in cash for a little bit and then jump back in the market when the market corrects saving me a few percentage points.

That’s when I notice that the freaking cash account has a .95% expense associated with it! You are going charge me to hold my cash? And charge me a boat load at at that!?

So frustrating.