401(k) Contribution Challenge – Investing Basics | Fidelity

What if you contributed just 1 percent more to your 401(k)? In this video for investing novices, you’ll see how saving a small amount each month can make a big difference over time. Find more articles about investing and personal finance at https://fidelity.com/mymoney To see more videos from Fidelity Investments, subscribe to: https://www.youtube.com/fidelityinvestments Facebook: https://www.facebook.com/fidelityinvestments Twitter: https://www.twitter.com/fidelity Google+: https://plus.google.com/+fidelity LinkedIn: https://www.linkedin.com/company/fidelity-investments ________________________________________________ You know, the world is full of tempting things to buy. Hey, it’s natural to want to enjoy the money you’re working so hard to earn. And it can be even harder when your family and friends are playing the one-up game. You know how it goes: you buy a TV and your neighbor immediately goes out and buys a bigger TV. Or, you tell a friend about your trip to Florida, and they go out and book a trip to Bali. Rather than getting caught up in a no-win game, what if you one-upped yourself by increasing your 401(k) contributions? By investing in your 401(k), you’re putting yourself first, and actually giving yourself the likelihood of more money in the future. “How?” you say? Well, let’s see how your money can make money. Imagine that you make $50,000 per year. You have a 401(k) and you have $5,000 in it. You’re contributing 6% of your income. At the end of 30 years, you could have about $332,000. Now, let’s say you increase your contribution by just 1%, or $500 per year. Spread out over 12 months, that’s about an extra $42 per month. Over the course of 30 years, you could have about $50,000 more of retirement. Every little bit you put away for retirement can make a difference. And you may not have to change your lifestyle to put away an additional $42 per month. In fact, you may not even notice it, especially because it can automatically come out of your pre-tax paycheck. But you would notice the potential for an additional $50,000 in retirement. So, let the neighbors battle over something as silly as who has the nicest umbrella. Take Fidelity’s one-up challenge, and put yourself first for a change. “One-Up” yourself today! Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917 679858.5.0

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