Just set up my first retirement account thru work... now what?

Investing
#1

Hello! Newbie here. I just became eligible for a retirement account through my job with John Hancock. I have started contributing towards it and I received a profit share amount. But, what do I do now? I have been poking around on the website but I’m not sure what I am looking at. I don’t know what kind of account I have but I can see that my money is being invested multi index 2060 preserve fund. Any tips/advice? Thanks!

#2

Hi! Congrats! I will suggest that you match the maximum amount that your employer is contributing to your retirement account and, if possible, the maximum allowed on such account (like Employee 401(k) contributions for 2020 are $19,500).
Once you do that, next step would be to open a Roth IRA account. Jeremy has a lot of post on how to open them :slight_smile:

1 Like
#3

Thanks! I do know that I don’t get a match, but a once a year profit sharing contribution.

I’m not sure how to tell what kind of account (ex: 401k, etc.) I have. Any tips on how to tell?

What are your thoughts on a target date investment? What happens if I am able to retire early?

Thanks for your thoughts!

#4

Hi Morgan! When it comes to company 401Ks there can be a variety of different ways they set them up. While my 401K is through Fidelity, any time I have a question, I call their help line and get it resolved. Maybe call John Hancock customer service and see if they can walk you through setting up the account details. Then if they ask what you would like to be invested within you could say one of the recommended funds from Jeremy.

#5

Hey @mccrackin1!

Is there someone in HR at your company you can sit down with and talk to about this account? Based on the details you’ve given, I’m not exactly sure what type of account this is. It sounds like good things are happening though. Profit sharing money is going in and it’s being invested in what sounds like a target date index fund, my favorite kind of investment! But we might be of limited help on this forum because the details of the profit sharing and account may be specific to your company. I’d ask HR, read any documentation available on the program, and call John Hancock as @dgurgan suggested! :slight_smile: