Ted Benna

When you’re ready to start setting aside (or withdrawing) money for your retirement — whenever that might be — take a look at the valuable benefits of each of these types of retirement plans. Consider investment recommendations including bundling, pre-tax contributions, and how life circumstances may change your opportunities.

Knowing how to build your 401(k) retirement plan, devising investment strategies, and making the most of your plan can all help to financially secure your path to retirement. During economic difficulties, you may be tempted to tap into your 401(k) funds, but most often, you're much better off financially if you can leave the funds alone.

If your employer offers a 401(k) retirement plan and makes contributions to it on your behalf, you have a leg up in retirement investing. The suggestions in the following list can help you get the most from your 401(k) plan: Contribute enough to get the full employer matching contribution. Use education tools and retirement planning aids from your employer or plan provider to help develop and track your retirement plan.

Finally you're reaping the benefits of contributing to your 401(k) for all those years. As you start taking money out instead of putting it in, use the advice in the following list to keep your nest egg healthy: Develop a strategy to deal with the taxman, because you will have to pay taxes when you take money out of the plan.

Make taking money out of your 401(k) retirement account your last option. The consequences of early withdrawals from your 401(k) hurt your current tax situation and your future investment potential. Keep the points in the following list in mind as you contemplate dipping into your 401(k): Calculate how much tax you'll owe on a hardship withdrawal before you withdraw the money.

You usually have some say in how the money in your 401(k) retirement account is invested, even if your employer manages the 401(k) account. If you're the sole decision-maker, the following tips on how to invest your funds are even more important: Come up with a plan. Know what you're doing and why: Don't invest blindly, hoping that it'll all come out well in the end.

You want the money in your 401(k) retirement account to grow; so, to build a comfortable nest egg, you need a smart strategy. Use the tips in the following list to guide you as you make decisions about your 401(k): Save in a tax-deferred retirement account as soon as you can, to get more bang for your investment buck.