The Best 401k Plan Providers

Whether you're entering the job force for the first time or you are just curious as to what options are available to others, you may be wondering which employers are the best 401(k) providers. Given the recent financial crises, many in the workforce are now beginning to wonder about the strength and security of their company-sponsored 401(k) plans. The best 401(k) providers not only match their employees' contributions to some extent, but they also provide a larger number of investment options for them. What follows are just two of the best 401(k) providers, and some insight into why their plans are considered so beneficial.

IBM

One of the best 401(k) plan providers out there is IBM, which not only matches your investment but it also allows you to choose how it is to be invested. IBM matches every dollar that you put in, up to 6% of your total salary, which is a far better deal than what most other companies are offering these says. In addition, you can choose to put your money into a traditional 401(k) or a Roth 401(k). Also, you have a long list of mutual funds to choose from in addition to traditional, safer bond investments. Finally, IBM offers a condensed list of 23 plans to choose from that have a balance of mutual funds, stocks, and bonds allowing you to invest at whatever risk level you feel comfortable with.

Nationwide

Although Nationwide's 401(k) plans may not match every dollar like IBM's does, the advantage of having a Nationwide plan is that it is an extremely flexible one. Instead of matching every dollar, Nationwide matches 50% of your contribution up to 6% of your total salary. Still, the unique offer that Nationwide has is that you are allowed to take out loans against your 401(k) and continue to pay them off even after you have retired.