The 401k Podcast with Fexingo: Employer Retirement Plans, Matching, and Long-Term Saving

Lucas and Luna uncover a quiet risk hiding in millions of 401k accounts: a missing or outdated beneficiary designation. They walk through what happens when a plan participant dies without naming a beneficiary — the default payout order, probate delays, and potential tax surprises for spouses and non-spouse heirs. Lucas cites data from a 2025 recordkeeper survey showing roughly 30% of participants haven't updated beneficiaries since account opening. They discuss the SECURE Act's impact on inherited retirement accounts, the ten-year rule, and why naming a trust as beneficiary requires careful coordination with plan documents. Luna shares a real-world example of a client whose ex-spouse remained the listed beneficiary years after divorce — and what it cost the current family. Practical steps: check your plan's beneficiary form every three years or after any major life event, and remember that the plan's default rules override your will in most cases. No scaremongering, just a focused look at a paperwork detail that can have outsized consequences. #401k #Beneficiary #EstatePlanning #InheritedIRA #SECUREAct #RetirementPlanning #Probate #SpousalBeneficiary #TenYearRule #RecordkeeperSurvey #Finance #PersonalFinance #FexingoBusiness #BusinessPodcast #LucasAndLuna #The401kPodcast #RetirementAccounts #TaxPlanning Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna explain the often-overlooked forfeiture account inside employer retirement plans. When employees leave before they are fully vested, their unvested employer contributions go into a forfeiture pool, which can be used to pay plan expenses, reduce future employer contributions, or even fund profit-sharing. Using a real-world example of a mid-sized company with a 6% match and a typical vesting schedule, the hosts walk through how forfeitures accumulate and how they impact participants. They also cover the regulatory rules under ERISA, the annual disclosure requirements, and why participants should care about forfeiture balances. This episode is timely for the June 2026 open enrollment season as more plans review their fiduciary obligations around forfeiture usage. No prior episode has tackled this specific mechanism, making it a fresh angle for savers wanting to understand all the moving parts of their 401k. #401k #RetirementPlans #ForfeitureAccount #EmployerMatch #Vesting #ERISA #PlanFees #Fiduciary #OpenEnrollment #ProfitSharing #PlanSponsor #ParticipantEducation #Finance #RetirementSaving #FexingoBusiness #BusinessPodcast #The401kPodcast #June2026 Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna explore the rise of financial wellness programs embedded within employer 401k plans. They focus on a specific case: how a midsize manufacturing company, Acme Industries, integrated a financial wellness platform that included student loan counseling, emergency savings accounts, and personalized budgeting tools. Lucas walks through the data: within two years, the plan's average deferral rate rose from 4.2% to 7.1%, and participation among employees under 30 jumped by nearly 40%. Luna questions whether these programs can truly address systemic financial stress or just shift responsibility onto employees. They discuss the regulatory landscape under the SECURE 2.0 Act and what plan sponsors should look for when evaluating vendors. The show also includes a brief, organic mention of listener support at buy me a coffee dot com slash fexingo. #401k #FinancialWellness #RetirementSavings #EmployeeBenefits #StudentLoans #EmergencySavings #SECURE2Act #PlanSponsor #AcmeIndustries #DeferralRate #WorkplaceFinance #LucasAndLuna #FexingoBusiness #BusinessPodcast #Finance #PersonalFinance #RetirementPlanning #FinancialLiteracy Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna dig into the details of 401k vesting schedules. Lucas explains the difference between cliff vesting and graded vesting, using a concrete example of a company with a three-year graded schedule. He walks through how much an employee actually owns of their employer match after one, two, and three years. Luna asks whether changing jobs resets the vesting clock and what happens to unvested balances. The episode also covers how the SECURE 2.0 Act's three-year cliff vesting requirement for new safe harbor plans starting in 2026 changes the landscape. Lucas emphasizes that vesting only applies to employer contributions, not your own deferrals. This is a practical guide for anyone trying to decide whether to stay at a job until they are fully vested. #401kVesting #CliffVesting #GradedVesting #EmployerMatch #SECURE2Point0 #RetirementPlans #JobHopping #UnvestedBalance #FiduciaryDuty #PlanSponsor #HR #PersonalFinance #RetirementSaving #EmployeeBenefits #LucasAndLuna #The401kPodcast #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Episode 56 explains auto-portability — the feature that automatically moves your 401k balance from an old job to a new one when you change employers. Lucas and Luna walk through how the Retirement Clearing House and Portability Services Network enable this, why it matters for the 24 million forgotten 401k accounts, and what it means if your plan offers it. They also discuss the SECURE 2.0 provisions that encourage auto-portability and how to opt out if you prefer to manage the rollover yourself. #AutoPortability #401k #RetirementPlans #SECURE2 #RetirementClearingHouse #PortabilityServicesNetwork #JobChange #Rollover #Forgotten401k #PlanFiduciary #EmployerRetirement #Finance #PersonalFinance #RetirementSavings #FexingoBusiness #BusinessPodcast #LucasAndLuna #The401kPodcast Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna explore the automatic reenrollment feature in 401k plans—a provision that can sweep employees who opted out back into the plan at a default contribution rate and investment option. They discuss how this feature works under SECURE 2.0, the fiduciary considerations for plan sponsors, and what it means for employees who may have opted out years ago. Using the example of a large manufacturing firm that reenrolled 1,500 employees, they break down the opt-out rates, the impact on savings behavior, and the potential backlash. Lucas explains the default deferral rate of 6% and the qualified default investment alternative (QDIA), while Luna questions whether this feels paternalistic. They also touch on the opt-out timing and the importance of clear communication. A practical episode for anyone who has opted out of their 401k and might be automatically reenrolled without knowing it. #AutomaticReenrollment #401k #SECURE2.0 #RetirementSavings #Paternalism #Fiduciary #EmployerSponsoredPlans #RetirementPlanning #OptOut #QDIA #DefaultRate #EmployeeBenefits #Finance #Retirement #FexingoBusiness #BusinessPodcast #401kPodcast #WorkplaceSavings Keep every episode free: buymeacoffee.com/fexingo

Episode 54 of The 401k Podcast with Fexingo explores auto-portability — a feature that automatically moves your old 401k balance to your new employer's plan when you switch jobs. Lucas and Luna break down how it works, why the Retirement Clearinghouse and major recordkeepers are rolling it out, and what it means for the roughly one in five workers who leave a job each year. They discuss the problem of 'leakage' — the billions in small account balances that get cashed out and taxed — and how auto-portability could help workers stay invested. The hosts also cover the regulatory green light from the Department of Labor in 2024 and adoption trends through mid-2026. A concrete walkthrough of a job-change scenario shows how the feature can save a typical worker thousands in lost compounding over a career. #AutoPortability #401k #RetirementSavings #JobChange #RetirementClearinghouse #DepartmentOfLabor #SmallBalances #Leakage #Rollover #Recordkeeper #Fiduciary #EmployerPlan #Portability #RetirementPlan #Finance #Investing #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Episode 53 of The 401k Podcast with Fexingo explores automatic reenrollment — a little-known 401k plan feature that automatically re-enrolls participants who previously opted out or stopped contributing. Lucas and Luna explain how it differs from auto-enrollment, why plan sponsors use it, and what it means for your savings rate. They walk through a real example: a participant earning $60,000 who opted out at age 28, then gets reenrolled at 3% with annual escalation. The episode covers opt-out rates, participant psychology, and potential downsides like cash flow disruption. By June 2026, over 40% of large plans have adopted this feature, up from 20% in 2020. If you've ever opted out of your 401k, this episode might explain why you suddenly saw contributions again. #401k #AutomaticReenrollment #RetirementSavings #AutoEnrollment #PlanDesign #BehavioralFinance #Fiduciary #ERISA #WorkplaceBenefits #SavingsRate #OptOut #Escalation #DefinedContribution #ParticipantBehavior #Finance #Business #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Episode 52 of The 401k Podcast digs into the default investment option inside your 401k — the Qualified Default Investment Alternative, or QDIA. Lucas explains how your plan's QDIA was chosen, why most plans default into target-date funds, and what happens when the QDIA's glide path doesn't match your retirement date. Luna brings data on how QDIA choices affect participant outcomes, including a Vanguard study showing that people defaulted into a balanced fund ended up with 15% less at retirement than those in a target-date series. The episode also covers the SECURE Act's changes to QDIA rules in 2025 and how to check what your plan's default actually is. No fluff, just the mechanics of the fund you never chose. #401k #QDIA #DefaultInvestment #TargetDateFund #RetirementPlanning #SECUREAct #Vanguard #GlidePath #ParticipantOutcomes #PlanFiduciary #ERISA #AutoEnrollment #BalancedFund #RetirementSavings #PlanSponsor #Finance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Lucas and Luna break down the triple tax advantage of pairing your 401k with an HSA, using a concrete example of a 35-year-old earning $70,000 who could save over $8,000 annually and reduce taxable income by $8,450. They explain how contributions are pre-tax, growth is tax-free, and withdrawals for qualified medical expenses are tax-free, plus the catch-up contribution at 55. The episode covers real numbers, the interaction with high-deductible health plans, and why this strategy beats a traditional 401k alone for healthcare costs in retirement. No fluff, just a clear case for why this pairing is a powerhouse. #401k #HSA #TripleTaxAdvantage #RetirementSavings #HealthSavingsAccount #TaxStrategy #PreTaxContributions #TaxFreeGrowth #TaxFreeWithdrawals #HighDeductibleHealthPlan #CatchUpContributions #FexingoBusiness #BusinessPodcast #FinancePodcast #PersonalFinance #WealthBuilding #EmployeeBenefits #LucasAndLuna Keep every episode free: buymeacoffee.com/fexingo

Episode 50 of The 401k Podcast with Fexingo examines the updated safe harbor notice requirements for 2026. Lucas and Luna break down what changed under the latest IRS guidance, including new disclosure rules for auto-enrollment and the simplified format for small plans. They discuss a concrete example: a mid-sized manufacturer in Ohio that had to reissue notices after missing the updated income threshold table. The hosts explain how these notices affect your contribution limits, match calculations, and withdrawal rights. They also cover the penalty for non-compliance and why you should check your inbox this September. No fluff, just the specifics that matter to your retirement savings. #401k #SafeHarbor #RetirementPlans #IRS #Notice2026 #AutoEnrollment #EmployerMatch #PlanCompliance #Fiduciary #ParticipantRights #Finance #Business #FexingoBusiness #BusinessPodcast #RetirementSavings #ERISA #ContributionLimits #PlanSponsor Keep every episode free: buymeacoffee.com/fexingo

Episode 49 of The 401k Podcast with Fexingo unpacks the surprisingly tricky tax implications of in-plan Roth rollovers — the option to convert your pre-tax 401k savings to Roth while still employed. Lucas and Luna walk through a concrete example: a mid-career saver with $200,000 in pre-tax 401k assets considering a partial rollover. They explain why the tax bill is immediate and often overlooked, how the 2026 marginal rate brackets and the sunset of the Tax Cuts and Jobs Act provisions next year could affect the decision, and when it actually makes sense vs. when it's a costly mistake. Perfect for listeners who've seen the 'convert to Roth' button in their 401k portal and wondered if they should click it. No advice, just the math and the trade-offs. #401k #RothRollover #InPlanRoth #TaxPlanning #RetirementSavings #EmployerPlan #PreTaxVsRoth #TaxCutsAndJobsAct #MarginalTaxRates #Finance #RetirementPlanning #FexingoBusiness #BusinessPodcast #401kPodcast #TaxMistakes #LucasAndLuna #FinancialLiteracy #WealthBuilding Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna explore the power of auto-escalation—a feature in many 401k plans that automatically increases your contribution rate each year. They walk through how a typical employee starting at a 6% contribution with 1% annual escalation can see their savings rate climb to 15% or more over a decade without ever making a manual change. They discuss the behavioral economics behind why auto-escalation works, citing a Vanguard study showing that 92% of participants stay enrolled after the first increase. They also compare auto-escalation to the 'save more tomorrow' concept and address common concerns like affordability and plan design. If you've ever wondered whether you're saving enough for retirement or how to get there without feeling the pinch, this episode offers a practical, data-backed approach. Lucas and Luna make the case that auto-escalation is one of the most underutilized tools in retirement planning, and they explain how you can check if your plan offers it—and what to do if it doesn't. #401k #AutoEscalation #RetirementSavings #EmployerMatch #BehavioralEconomics #Vanguard #SaveMoreTomorrow #ContributionRate #PlanDesign #FinancialWellness #RetirementPlanning #EmployeeBenefits #CompoundGrowth #Bogleheads #FexingoBusiness #BusinessPodcast #Finance #PersonalFinance Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, hosts Lucas and Luna dig into a hidden cost lurking in many retirement plans: the managed account fee. They break down how a typical 0.5% to 1.0% annual fee on top of fund expenses can reduce a saver's balance by tens of thousands of dollars over a career. Using a concrete example of a 30-year-old with a $50,000 balance contributing $10,000 annually, they show how paying 0.75% in managed account fees could cost roughly $150,000 in lost growth by age 65, assuming a 7% return. They compare managed accounts to simple target-date funds, which often charge far less. The hosts also discuss when managed accounts actually add value, such as for participants with complex needs or those prone to behavioral mistakes. The episode aims to help listeners check their plan fees and decide whether the service is worth the cost. They touch on the Department of Labor's focus on fee transparency and the rise of low-cost managed account options. A short donation segment ties the topic to listener support, keeping the show ad-free. #401k #ManagedAccounts #RetirementFees #FeeDrag #TargetDateFunds #Fiduciary #DepartmentOfLabor #PersonalFinance #Investing #RetirementPlanning #FexingoBusiness #BusinessPodcast #FinancePodcast #LucasAndLuna #The401kPodcast #CostAwareness #BehavioralFinance #PlanSponsor Keep every episode free: buymeacoffee.com/fexingo

Episode 46 of The 401k Podcast explores self-directed brokerage windows within employer retirement plans. Lucas and Luna break down how a brokerage window lets you invest beyond the plan's menu of funds, the fees and risks involved, and who it's actually for. Using a real-world example of a Fidelity-managed plan offering a BrokerageLink option, they walk through the typical costs—like a $50 annual fee and $28 per trade—and the behavioral pitfalls of unfettered choice. They discuss data from a 2024 Vanguard study showing that only about 3 percent of eligible participants use brokerage windows, and those who do often underperform the default options. The conversation also covers plan sponsor liability and the Secure 2.0 Act's potential impact. If you're considering a brokerage window or just wondering why your plan offers one, this episode gives you the concrete numbers and trade-offs to decide. #401k #BrokerageWindow #SelfDirectedBrokerage #Fidelity #BrokerageLink #RetirementPlanning #Investing #EmployerPlan #PlanFees #Secure2.0 #VanguardStudy #ParticipantBehavior #PlanSponsor #FiduciaryDuty #Finance #FexingoBusiness #BusinessPodcast #The401kPodcast Keep every episode free: buymeacoffee.com/fexingo

Episode 45 explores a quiet revolution in 401k plans: guaranteed lifetime income options, often through in-plan annuities or managed payout funds. Lucas and Luna break down how these work, why the SECURE Act paved the way, and what it means for your retirement paycheck. They discuss the trade-offs between flexibility and security, using Fidelity's 2025 data showing that 15% of large plans now offer such options, and cite a real-world example of a GM retiree who chose a lifetime income stream. No jargon overload — just a clear look at whether 'guaranteed income' belongs in your 401k. #GuaranteedLifetimeIncome #401kAnnuity #SECUREAct #RetirementPaycheck #InPlanAnnuity #ManagedPayoutFund #Fidelity #GeneralMotors #LongevityRisk #LifetimeIncome #RetirementPlanning #401k #EmployerPlan #PensionAlternative #Finance #FexingoBusiness #BusinessPodcast #RetirementIncome Keep every episode free: buymeacoffee.com/fexingo

Episode 44 of The 401k Podcast unpacks a hidden cost in your retirement plan: collective trusts and separate accounts that can charge higher fees than comparable institutional mutual funds. Lucas and Luna walk through a real example from a mid-sized tech company's 401k menu, where a collective trust tracking the S&P 500 had an expense ratio of 0.12 percent, while an institutional Vanguard index fund tracking the same benchmark costs just 0.04 percent. They explain why plan sponsors sometimes choose the pricier option — customization, revenue sharing, or lack of bargaining — and how you can spot overpriced shares in your own plan. The episode also covers the SEC's 2022 guidance on collective trust fee disclosure, and a recent lawsuit against a large 401k provider that shone a light on hidden revenue streams. If you've ever wondered why two similar funds in your 401k have wildly different fees, this episode is for you. #401k #RetirementPlans #CollectiveTrusts #SeparateAccounts #ExpenseRatios #PlanFees #HiddenFees #SEC #FiduciaryDuty #RevenueSharing #InstitutionalFunds #IndexFunds #S&P500 #Vanguard #Fexingo #Finance #BusinessPodcast #FexingoBusiness Keep every episode free: buymeacoffee.com/fexingo

Episode 43 of The 401k Podcast with Fexingo uncovers the mega backdoor Roth strategy many high-earners overlook. Lucas explains how a specific provision in IRS rules lets you contribute up to $70,000 into a Roth account through your 401k, far beyond the standard $23,000 limit. He walks through the math using a concrete example: a 45-year-old engineer earning $180,000 who could build over $1.2 million in tax-free retirement savings by age 65. Luna pushes back on the complexity and asks whether the strategy is worth the paperwork. They discuss the two key plan features needed, how to check if your employer offers them, and why this works best for people who can live on less than 50% of their income. The episode closes with a realistic look at who should actually pursue this, and who should skip it. Includes a short, sincere donation segment supporting the show's ad-free mission. #MegaBackdoorRoth #401k #RetirementPlanning #RothIRA #AfterTaxContributions #HighIncomeStrategies #TaxFreeGrowth #EmployerPlan #IRS #Fidelity #Vanguard #WealthBuilding #Finance #PersonalFinance #RetirementSavings #FexingoBusiness #BusinessPodcast #The401kPodcast Keep every episode free: buymeacoffee.com/fexingo

Episode 42 of The 401k Podcast with Fexingo dives into the hidden fees lurking in your retirement plan—specifically revenue sharing from mutual fund share classes. Lucas and Luna break down how a plan with $50 million in assets could be paying $100,000 more than necessary each year just because the plan uses retail share classes instead of institutional ones. They walk through a real example: a Fidelity Contrafund share class comparison showing a 0.39% expense difference. You'll learn how to check your plan's fee disclosure, what to look for in the 408(b)(2) notice, and why plan sponsors often overlook cheaper share classes. By the end, you'll know the one question to ask your HR department that could save you thousands over your career. #401k #RetirementPlanning #HiddenFees #RevenueSharing #MutualFundFees #ShareClasses #FiduciaryResponsibility #PlanSponsor #FeeDisclosure #Contrafund #Fidelity #ERISA #Investing #Finance #Business #FexingoBusiness #BusinessPodcast #The401kPodcast Keep every episode free: buymeacoffee.com/fexingo

Episode 41 of The 401k Podcast explores the quiet shift of 401k plans into private equity. Lucas and Luna break down how the 2020 Department of Labor letter opened the door for PE funds in your retirement account, why plan sponsors are adding them, and what it means for your returns and risk. They walk through a concrete example: a 401k plan using a target-date fund that now allocates up to 5% to PE through a fund-of-funds structure. They discuss the liquidity mismatch, the fee layers, and whether the potential for higher returns justifies the complexity. If you've ever wondered why your 401k statement might soon include investments you can't sell daily, this episode is for you. #401k #PrivateEquity #RetirementPlanning #DOL #PlanSponsor #TargetDateFunds #FiduciaryDuty #IlliquidAssets #AlternativeInvestments #FeeDisclosure #EmployeeBenefits #PensionProtectionAct #InvestmentRisk #PortfolioDiversification #SEC #PersonalFinance #Business #FexingoBusiness Keep every episode free: buymeacoffee.com/fexingo

In this episode, Lucas and Luna explore the 401k safe harbor match — an employer contribution structure that guarantees employees a certain match regardless of company profits, while letting the company bypass annual nondiscrimination testing. They walk through the specific deferral percentages required (3% automatic plus 50% on the next 2%, or a 4% flat match), how this compares to traditional discretionary matches, and why smaller businesses often prefer safe harbor plans. They also discuss a real-world scenario: a 50-person firm switching from a profit-sharing model to a safe harbor match, and what that meant for employee participation rates and owner contributions. The hosts explain the vesting rules (immediate vesting for safe harbor contributions) and how the 2026 SECURE 2.0 changes—like the increased catch-up limit for ages 60-63—interact with safe harbor provisions. If you've ever wondered why your employer's 401k match shows up every paycheck without fail, or why they never adjust it based on business performance, this episode explains the legal framework behind that stability. #401k #SafeHarbor #EmployerMatch #NondiscriminationTesting #RetirementPlanning #EmployeeBenefits #SECURE2.0 #CatchUpContributions #Vesting #SmallBusiness401k #ProfitSharing #DeferralRate #BusinessPodcast #Finance #FexingoBusiness #The401kPodcast #Retirement #PlanSponsor Keep every episode free: buymeacoffee.com/fexingo

Every year, your 401k plan sends you a document that most people delete without opening. In episode 39, Lucas and Luna break down what's actually inside that Summary Annual Report — the fee table, the investment performance numbers, the changes to your plan. Using a real example from a mid-sized company's 2025 filing, they show how one line item about revenue-sharing payments could cost you thousands over a career. Lucas explains why the 'abstract of plan financial information' matters more than you think, and Luna shares a story about a friend who caught a doubling of administrative fees by reading the notice. If you've ever ignored that envelope from your benefits department, this episode gives you three specific things to check before tossing it next time. #401k #RetirementPlanning #SummaryAnnualReport #PlanFees #RevenueSharing #FiduciaryDuty #EmployeeBenefits #FinancialLiteracy #Investing #FeeDisclosure #PlanSponsor #TargetDateFunds #ExpenseRatio #Recordkeeping #RetirementSaving #Finance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna drill into a specific feature many plan participants overlook: the 401k loan. Using a concrete example borrowed from Fidelity's 2025 participant data, they show how a $10,000 loan over five years can silently erode your retirement balance by as much as $8,000 in lost compound growth — even though you're paying yourself interest. They walk through the mechanics of double taxation (you repay with after-tax dollars, then pay tax again on withdrawal), the opportunity cost of missing market returns during the repayment period, and the ugly math of what happens if you leave your job with an outstanding loan: it becomes a taxable distribution within 60 days, plus a 10% penalty if you're under 59 1/2. They also touch on the new SECURE 2.0 rule that raises the loan limit to $50,000 and extends repayment for terminated employees, and why even that fix doesn't eliminate the core trade-off. Relevant for anyone who has borrowed — or is thinking of borrowing — from their 401k. #401kLoan #RetirementPlanning #CompoundGrowth #OpportunityCost #DoubleTaxation #SECURE2 #Fidelity #ParticipantData #JobChange #LoanRepayment #TaxableDistribution #EarlyWithdrawalPenalty #Finance #PersonalFinance #FexingoBusiness #BusinessPodcast #401kPodcast #EmployerRetirementPlans Keep every episode free: buymeacoffee.com/fexingo

Many 401k participants are defaulted into target-date funds, but plan sponsors increasingly offer managed accounts that promise personalized allocation. In this episode, Lucas and Luna dig into the data: managed accounts charge an average of 0.30% to 0.50% in additional fees, and a 2024 Morningstar study found they added only about 0.1% to 0.3% in net returns after fees. They discuss Vanguard's 2025 report showing only 12% of 401k plans offer managed accounts, while 95% use target-date funds. Lucas explains why a target-date fund's simple glide path often beats the complex algorithm of a managed account, especially for younger savers. The hosts also explore what happens when a managed account overreacts to market volatility, using the 2022 downturn as an example. They close by suggesting listeners check whether their plan's managed account fee is a flat dollar amount or a percentage of assets, and whether the advice is fiduciary-level. This episode is a practical guide to deciding whether to stick with the default or pay up for customization. #401k #ManagedAccounts #TargetDateFunds #RetirementPlanning #InvestmentFees #FiduciaryAdvice #GlidePath #Morningstar #Vanguard #AssetAllocation #PersonalFinance #Investing #RetirementSavings #PlanSponsor #FeeDisclosure #BehavioralFinance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Episode 36 of The 401k Podcast with Fexingo dives into a little-known but hugely impactful 401k feature: forfeitures. Every year, employees who leave a company before their employer match fully vests leave money behind—and that money doesn't vanish. Instead, it goes into a forfeiture account, which plan sponsors can use to reduce future matching contributions, pay plan fees, or even reallocate to remaining participants. Lucas and Luna break down the mechanics with a concrete example: a 5% match on a $60,000 salary, a two-year cliff vesting schedule, and what happens when an employee leaves after 18 months. They also discuss the recent IRS rule changes in 2025 that clarified how forfeitures must be used and why plan sponsors are now required to disclose forfeiture balances on Form 5500. By the end, you'll know how to check your own plan's forfeiture policy and why this hidden pool of money matters to your bottom line. Plus, a brief listener-supported moment tied to the episode's core message about transparency. #401k #Forfeitures #EmployerMatch #Vesting #RetirementPlans #IRS #Form5500 #PlanSponsor #Fiduciary #ERISA #ParticipantAdvocacy #FeeDisclosure #EmployerCosts #RetirementSaving #Finance #BusinessPodcast #FexingoBusiness #The401kPodcast Keep every episode free: buymeacoffee.com/fexingo

Starting in 2026, 401k plans can include an emergency savings account feature that lets you save up to $2,500 of after-tax money that's fully liquid, tax-free on withdrawal, and even eligible for employer matching. Lucas and Luna break down how SECURE 2.0 created this option, why it changes the old rule that retirement money should never be touched before 59.5, and what it means for someone who's been avoiding their 401k because they're afraid of locking up cash. They walk through the mechanics, the matching nuance, and a real example of how a 30-year-old earning $60,000 could use the feature to build a $2,500 cushion while still getting the full employer match. The episode closes with a reflection on whether this finally kills the 'emergency fund vs. retirement savings' trade-off. #401k #EmergencySavingsAccount #SECURE2dot0 #RetirementPlanning #EmployerMatch #LiquidSavings #TaxFree #Fexingo #BusinessPodcast #Finance #PersonalFinance #EmployeeBenefits #WorkplaceSavings #LucasAndLuna #The401kPodcast #FexingoBusiness #FinancialWellness #PlanSponsor Keep every episode free: buymeacoffee.com/fexingo

Episode 34 of The 401k Podcast with Fexingo digs into the 401k catch-up contribution rule for workers age 50 and older. Lucas and Luna break down the SECURE 2.0 changes taking effect in 2025 and 2026, including the new higher catch-up limit for ages 60 to 63. They walk through a real example: a 55-year-old earning $120,000 who uses the full catch-up for five years could add nearly $40,000 in tax-advantaged savings versus skipping it. The hosts also explain why the rule change in 2026 forces some high earners to use Roth catch-up contributions instead of pre-tax. A practical episode for anyone approaching retirement or helping a parent with their 401k strategy. #401k #CatchUpContributions #RetirementPlanning #SECURE2.0 #RothCatchUp #EmployerRetirementPlans #Age50Plus #TaxAdvantagedSavings #FiduciaryRules #ContributionLimits #PreTaxVsRoth #RetirementIncome #PlanSponsor #IRSGuidance #Finance #PersonalFinance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna dig into the Roth 401k option that many plans now offer but few employees fully understand. Using a concrete example of a 30-year-old earning $75,000 a year, they compare the after-tax benefit of Roth contributions versus traditional pre-tax contributions over a 30-year career. They explain how the math shifts depending on your tax bracket now versus in retirement, and why younger workers often benefit more from Roth than they realize. The hosts also discuss the impact of employer matching (which is always pre-tax), how to model your own marginal rate, and one often-overlooked rule about required minimum distributions. This episode gives you a simple framework to decide which contribution type fits your situation, with no jargon and no hot takes. If you've ever wondered whether to check the 'Roth' box in your 401k elections, this is the conversation you need. #Roth401k #Traditional401k #TaxDiversification #RetirementPlanning #401kContributions #MarginalTaxRate #EmployerMatch #RequiredMinimumDistributions #AfterTaxSavings #TaxBracket #YoungInvestors #CompoundGrowth #FiduciaryAdvice #Finance #Investing #FexingoBusiness #BusinessPodcast #The401kPodcast Keep every episode free: buymeacoffee.com/fexingo

Episode 32 of The 401k Podcast digs into a subtle feature in many retirement plans: automatic contribution escalation. Lucas explains how a seemingly small annual increase—often just one percentage point—can compound into tens of thousands of extra dollars over a career. He uses a concrete example: a 30-year-old earning $60,000 who starts at a 6% default rate and escalates 1% each year until 15% versus someone who stays flat at 6%. The difference? Over $300,000 in projected savings by age 65, assuming a 7% annual return. Luna challenges whether auto-escalation works if participants opt out, and the hosts discuss behavioral research showing most people stay in. They also warn that some plans cap the increase too low, leaving savers short. The episode aims to help listeners check if their plan has auto-escalation and whether they should enable it. #401k #Retirement #AutoEscalation #ContributionRate #BehavioralFinance #Savings #CompoundInterest #EmployerMatch #PlanDesign #Fiduciary #PersonalFinance #Investing #RetirementPlanning #LucasAndLuna #FexingoBusiness #BusinessPodcast #FinancePodcast #HRBenefits Keep every episode free: buymeacoffee.com/fexingo

Lucas and Luna explore the powerful but often overlooked strategy of pairing your 401k with a Health Savings Account. They break down the triple tax advantage—tax-deductible contributions, tax-free growth, and tax-free withdrawals for qualified medical expenses—and explain why this combination can supercharge retirement savings. Using real-world numbers, they show how a 35-year-old in a 24% tax bracket could accumulate over $100,000 in extra retirement value by age 65 simply by maxing out an HSA and investing it in low-cost index funds. The hosts also discuss common pitfalls, like using HSA funds for current medical bills instead of letting them grow, and the 'secret' to treating your HSA as a retirement account. Perfect for anyone with a high-deductible health plan looking to optimize their savings. #401k #HSA #HealthSavingsAccount #RetirementPlanning #TaxAdvantage #TripleTaxAdvantage #HighDeductibleHealthPlan #HDHP #EmployerMatch #Investing #IndexFunds #CompoundGrowth #TaxDeduction #TaxFreeGrowth #TaxFreeWithdrawal #RetirementSavings #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna unpack the 401k hardship withdrawal trap that could derail your retirement. Over 2 million participants take hardship withdrawals annually—often for avoidable reasons. Lucas explains the specific IRS rules, the 10% penalty, the 20% withholding, and the double-taxation effect. Luna asks about alternatives like 401k loans and emergency savings accounts. They walk through a concrete example: someone taking a $10,000 withdrawal for a medical bill ends up needing $14,300 to net $10,000. They also discuss the SECURE 2.0 Act changes, including the $1,000 emergency withdrawal allowance and the new self-certification rule. If you're considering dipping into your 401k early, this episode gives you the math and the options to think twice. #401k #HardshipWithdrawal #RetirementPlanning #SECURE20 #EmployeeBenefits #PersonalFinance #Finance #FexingoBusiness #BusinessPodcast #401kPodcast #EarlyWithdrawalPenalty #EmergencySavings #IRS #RetirementSavings #FinancialLiteracy #401kLoan #TaxPenalty #MoneyTips Keep every episode free: buymeacoffee.com/fexingo

Episode 29 of The 401k Podcast tackles one of the most misunderstood features of employer retirement plans: the vesting schedule. Lucas and Luna break down how vesting works, why a three-year cliff or five-year graded schedule can leave thousands of dollars on the table if you change jobs too soon. They walk through a real example: a 30-year-old earning $65,000 who contributes 6% to capture a 4% match, only to leave after two years and forfeit $5,200 in unvested employer contributions. The hosts explain the difference between cliff and graded vesting, how to read your plan's Summary Plan Description, and what to do if you're approaching a job change mid-vesting. They also touch on how the SECURE 2.0 Act's long-term part-time worker rules interact with vesting. If you're contributing to a 401k, you need to know when that match actually becomes yours. #401k #VestingSchedule #EmployerMatch #RetirementPlanning #CliffVesting #GradedVesting #SECURE2Act #JobChange #PlanSponsor #SummaryPlanDescription #Finance #PersonalFinance #RetirementSavings #EmployeeBenefits #FexingoBusiness #BusinessPodcast #The401kPodcast #Retirement Keep every episode free: buymeacoffee.com/fexingo

Starting in 2024, the SECURE 2.0 Act allows employers to make matching contributions to your 401k based on your student loan payments, even if you don't contribute to the plan yourself. In this episode, Lucas and Luna break down how the provision works, who qualifies, and why it could be a game-changer for younger workers juggling debt and retirement savings. They walk through a real-world example: a 28-year-old earning $65,000 with $40,000 in student loans who could build a $200,000 retirement balance by age 65 without ever making a 401k contribution. They also discuss plan adoption rates, employer hurdles, and what to ask your HR department. If you're skipping the 401k to pay down loans, this rule might change your math entirely. #StudentLoanMatch #SECURE2.0 #401k #StudentLoans #RetirementSavings #EmployerMatch #Finance #PersonalFinance #WealthBuilding #DebtManagement #WorkplaceBenefits #HR #Fiduciary #PlanSponsor #FexingoBusiness #BusinessPodcast #The401kPodcast #RetirementPlanning Keep every episode free: buymeacoffee.com/fexingo

Episode 27 of The 401k Podcast with Fexingo dives into the auto enrollment default rate—the percentage of your salary that gets automatically deducted into your 401k when you first join a company. Lucas and Luna explain why the typical default of 3% is a dangerous trap, how it compounds into a six-figure shortfall by retirement, and what you can do to override it. They use the example of a 25-year-old earning $55,000 who leaves the default rate versus one who immediately increases to 10%, showing a difference of over $300,000 at age 65. The episode also covers recent trends where employers are raising defaults to 6% or even 10%, and why you should never accept the default without thinking. #401k #AutoEnrollment #DefaultRate #RetirementSavings #CompoundInterest #EmployerMatch #PlanDesign #BehavioralFinance #Fiduciary #SalaryDeferral #RetirementPlanning #PersonalFinance #Investing #FinancialLiteracy #WealthBuilding #FexingoBusiness #BusinessPodcast #Finance Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna dig into the Qualified Default Investment Alternative, or QDIA — the default fund your 401k plan automatically invests you in if you don't make an active election. Most QDIAs are target-date funds, but not all target-date funds are created equal. Lucas explains how different plan sponsors choose different glide paths, and why a 35-year-old employee at one company could be in a much more aggressive target-date fund than a peer at another firm — even with the same target retirement year. Luna pushes back on whether investors even know what QDIA they're in. They discuss the 1994 book 'The Winner's Curse' by economist Richard Thaler as an analogy for why passive defaults can leave some participants overpaying or under-diversifying. The hosts also cover how QDIAs shifted after the Pension Protection Act of 2006, and what you can do if your default fund isn't aligned with your personal risk tolerance. A practical episode for anyone who has never rebalanced their 401k. #401k #QDIA #TargetDateFund #DefaultInvestment #PensionProtectionAct #RichardThaler #WinnersCurse #GlidePath #RetirementPlanning #PassiveInvesting #EmployeeBenefits #FiduciaryDuty #PlanSponsor #RiskTolerance #AssetAllocation #Finance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Episode 25 of The 401k Podcast with Fexingo dives into the often-overlooked role of the plan fiduciary — the person or committee legally responsible for managing your 401k in your best interest. Lucas and Luna unpack a real case: the 2024 Supreme Court ruling in Jander v. Retirement Plans Committee of IBM, which clarified that fiduciaries can be sued for offering imprudent investment options even if those options are low-cost index funds. They explain the three key fiduciary duties — duty of loyalty, duty of prudence, and duty to monitor — and why you should care about who sits on your plan's investment committee. The episode also covers the Employee Retirement Income Security Act (ERISA) and practical steps you can take to ensure your plan's fiduciaries are doing their job, including reviewing Form 5500 and fee disclosures. #401k #FiduciaryDuty #ERISA #RetirementPlans #JanderVsIBM #SupremeCourt #PlanFiduciary #DutyOfPrudence #DutyOfLoyalty #DutyToMonitor #Form5500 #LowCostIndexFunds #InvestmentCommittee #RetirementSaving #Finance #FexingoBusiness #BusinessPodcast #The401kPodcast Keep every episode free: buymeacoffee.com/fexingo

Most 401k participants assume their plan's investment menu is built by objective experts. But many plan sponsors—often HR directors or CFOs with no investment training—rely on advice from brokers who collect hidden revenue-sharing payments. In this episode, Lucas and Luna examine a 2019 study from the National Bureau of Economic Research showing that 401k plans advised by brokers who receive revenue-sharing fees underperform plans advised by fiduciaries by about 0.4 to 1.0 percentage points annually. They walk through how these conflicts work, why fee disclosures rarely make them visible, and what the Department of Labor's 2024 fiduciary rule means for participants. One concrete takeaway: check whether your plan's advisor is a registered investment adviser or a broker-dealer—the difference can cost you tens of thousands of dollars over a career. #401k #RetirementPlans #PlanSponsor #FiduciaryRule #RevenueSharing #BrokerConflict #InvestmentFees #DOL #NBER #ParticipantEducation #FeeDisclosure #Finance #PersonalFinance #Retirement #Investing #FexingoBusiness #BusinessPodcast #The401kPodcast Keep every episode free: buymeacoffee.com/fexingo

In this episode of the 401k Podcast, Lucas and Luna explore a little-used 401k feature: after-tax contributions. Unlike Roth contributions, after-tax contributions can be rolled into a Roth IRA tax-free through an in-plan Roth conversion, enabling the mega backdoor Roth strategy. Lucas breaks down the difference between designated Roth contributions and after-tax contributions, how to check if your plan supports them, and the five-year rule for gains. Luna asks about plan limits and the practical steps to set this up. They also discuss why most employees ignore this option and how auto-escalation could change that. A concrete example shows how $20,500 in after-tax contributions could compound to over $400,000 in 20 years. Tune in to learn if your 401k plan has this hidden supercharging feature. #401k #AfterTaxContributions #MegaBackdoorRoth #RothIRA #InPlanConversion #RetirementSavings #PersonalFinance #EmployerRetirementPlan #TaxStrategy #CompoundInterest #FiduciaryRule #PlanDesign #FexingoBusiness #BusinessPodcast #Finance #RetirementPlanning #Investing #WealthBuilding Keep every episode free: buymeacoffee.com/fexingo

Lucas and Luna dig into the fine print of 401k employer matches that take years to fully vest — and the math on how much you actually walk away with if you leave early. Using a concrete example of a 6% match with a six-year graded vesting schedule, they show that a worker earning $75,000 who switches jobs after two years forfeits nearly $4,000 in unvested employer contributions. The episode covers how to read your plan's vesting schedule, the rare 'immediate vesting' gold standard, and one strategy to minimize the damage when you know you'll leave before fully vested. No alarmism — just the specific numbers every employee should check during open enrollment. #401kMatch #VestingSchedule #EmployerRetirementPlans #GradedVesting #CliffVesting #ImmediateVesting #RetirementSavings #PlanDocuments #JobHopping #ForfeitedMatch #Fidelity #Vanguard #BeneficiaryDesignation #PlanFees #Finance #PersonalFinance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

In this episode, Lucas and Luna dig into a hidden cost in many 401k plans: recordkeeping fees that are bundled into investment funds rather than charged transparently. They explain how the Department of Labor's fee disclosure rules from 2012 were supposed to help, but a common practice called 'revenue sharing' still obscures what participants actually pay. Using the example of a mid-sized company with $50 million in plan assets, they show how excess fees can compound into tens of thousands of dollars lost over a career. Lucas walks through how to read a 408(b)(2) fee disclosure and compare it to a benchmark like the BrightScope or NAPA average. The hosts also discuss why smaller plans are most vulnerable and what a plan fiduciary should ask their provider. If you've ever wondered why your 401k statement lists 'other expenses' or why your plan's target-date fund has a higher expense ratio than the retail version, this episode is for you. #401k #RecordkeepingFees #RevenueSharing #FeeDisclosure #RetirementPlan #PlanFiduciary #BrightScope #NAPA #InvestmentFees #HiddenFees #ParticipantCosts #DepartmentOfLabor #408b2 #TargetDateFund #ExpenseRatio #EmployerPlan #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Every 401k participant gets a fee disclosure document each year, but almost nobody reads it. Lucas and Luna crack open an actual fee disclosure from a mid-sized company plan to show listeners what's hiding in plain sight: revenue sharing arrangements, wrap fees on stable value funds, and the difference between administrative fees and investment management fees. They walk through a concrete example of how a seemingly small 0.35% administrative fee compounded over thirty years can cost a worker over $100,000 in lost retirement savings. Along the way, they explain what the '408(b)(2)' regulation actually requires, why fund expense ratios in your 401k might be higher than the same fund you could buy in an IRA, and how to spot a revenue sharing arrangement that's inflating your costs. This episode turns the most boring document in personal finance into actionable knowledge. #401k #FeeDisclosure #408b2 #RetirementFees #RevenueSharing #AdministrativeFees #ExpenseRatios #StableValueFund #WrapFee #RetirementPlanning #FiduciaryRule #PlanSponsor #ParticipantFees #HiddenCosts #CompoundFees #Finance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Lucas and Luna explore the self-directed brokerage account (SDBA) option inside many 401k plans. They break down how a window works, the typical fees and restrictions, and when it might outperform a standard fund menu. A real-world example: a listener in her early 40s who used an SDBA to buy a low-cost S&P 500 ETF instead of her plan's target-date fund, saving roughly 40 basis points annually. They also discuss pitfalls like trading frequency limits and the risk of overconcentration. If you have a 401k with an SDBA option—and about 40% of large-plan participants do—this episode helps you decide whether to use it. #SelfDirectedBrokerageAccount #SDBA #401k #RetirementSavings #PassiveInvesting #LowCostETF #EmployerPlan #FiduciaryDuty #TradingFees #PlanFees #ExpenseRatio #InvestmentOptions #PersonalFinance #RetirementPlanning #WealthBuilding #Finance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Lucas and Luna dive into the Safe Harbor 401k match, a provision that allows highly compensated employees to max out their contributions without failing nondiscrimination tests. They use a concrete example: a dental practice with 12 employees where the owner wants to contribute $23,500 but historically the plan fails the ADP test. They explain how the Safe Harbor match works, the two main formulas (basic vs. enhanced), and why only 15% of small businesses use it despite its benefits. The hosts also cover the notice requirements and the 2026 deadline for adopting a Safe Harbor provision mid-year. A practical episode for business owners and HR professionals looking to boost retirement savings for themselves and their teams. #SafeHarbor401k #401kMatch #RetirementPlanning #SmallBusiness #ADPTest #HighlyCompensatedEmployees #FiduciaryResponsibility #PlanSponsor #EmployeeBenefits #RetirementSavings #Finance #BusinessPodcast #FexingoBusiness #Business #PersonalFinance #401kPlan #Retirement #EmployerMatch Keep every episode free: buymeacoffee.com/fexingo

Episode 17 of The 401k Podcast with Fexingo. Lucas and Luna dig into a hidden trap lurking inside most employer retirement plans: the default contribution rate. Most plans auto-enroll new employees at just 3%, a number that subtly anchors savers into under-saving for decades. Lucas walks through the math — how a 3% default versus a 6% default can mean a difference of over $200,000 in retirement savings, assuming a 30-year career and 7% annual returns. They discuss behavioral economics research from Richard Thaler and Shlomo Benartzi, the impact of auto-escalation features, and why some companies like The Vanguard Group have pushed default rates to 4% or 5% with better outcomes. Luna pushes back on whether higher defaults could hurt low-wage workers, and they explore opt-out versus opt-in design. Specific numbers, real plan examples, and practical advice for employees who were auto-enrolled at a low rate. #401k #RetirementPlanning #AutoEnrollment #DefaultRate #BehavioralEconomics #SaveMoreTomorrow #RichardThaler #Vanguard #EmployeeBenefits #RetirementSavings #CompoundInterest #EmployerMatch #OptOut #FinancialLiteracy #PersonalFinance #FexingoBusiness #BusinessPodcast #Finance Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast with Fexingo, Lucas and Luna zoom in on target-date fund glide paths—the formula that shifts your portfolio from stocks to bonds as you near retirement. They explain why not all glide paths are created equal, using Vanguard's 2030 fund as a concrete example, and discuss how a 'to-retirement' vs 'through-retirement' approach can change outcomes by tens of thousands of dollars. They also cover the hidden fees within target-date fund-of-funds and why your plan's default investment may not match your risk tolerance. If you've ever wondered whether your TDF is too conservative or too aggressive, this episode gives you the framework to decide. #TargetDateFunds #GlidePath #Vanguard #RetirementPlanning #401k #InvestmentStrategy #BondsVsStocks #AssetAllocation #FiduciaryDuty #FeeTransparency #RetirementIncome #SequenceOfReturnsRisk #PersonalFinance #Finance #FexingoBusiness #BusinessPodcast #EmployeeBenefits #RetirementSavings Keep every episode free: buymeacoffee.com/fexingo

Most 401k participants think they're paying zero investment advice fees. That's usually wrong. Lucas and Luna unpack the managed account service quietly embedded in many employer retirement plans — a feature that auto-enrolls you into a daily portfolio management fee of 0.30 to 0.50 percent on top of fund expense ratios. They walk through a concrete example: a 45-year-old with $150,000 in her 401k paying 0.40 percent annually for a robo-advisor she never explicitly signed up for. Over 20 years, that extra drag costs roughly $18,000 in foregone growth. The hosts explain why plan sponsors add these services, when they actually add value, and the three questions you should ask your benefits team before opting in or out. No hot takes — just the math and the decision framework. #401k #ManagedAccount #RetirementFees #ERISA #FiduciaryRule #RoboAdvisor #FeeDisclosure #PlanSponsor #ParticipantAdvice #InvestmentManagement #RetirementPlanning #WealthManagement #PassiveInvesting #TargetDateFund #EmployeeBenefits #Finance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Most 401k participants name a beneficiary once and never touch it again. Lucas and Luna walk through the specific legal trap: what happens when the named beneficiary is your ex-spouse, a deceased parent, or an outdated trust. They cite real-world probate court cases where the 401k plan administrator had no choice but to pay the person on file, even after divorce or death, because the participant never updated the form. They explain the difference between a primary and contingent beneficiary, the per-stirpes vs per-capita election, and why your will doesn't override the beneficiary designation. Key number: more than 60% of 401k beneficiaries are outdated according to a 2024 Fidelity study. The episode also covers the little-known spousal consent rule and why married participants in community property states need to name their spouse or get a notarized waiver. By the end, listeners will know exactly which document to check and update today. #401kBeneficiary #EstatePlanning #RetirementAccounts #BeneficiaryDesignation #Probate #SpousalConsent #PerStirpes #PerCapita #FidelityStudy #ContingentBeneficiary #TrustAsBeneficiary #DivorceAndRetirement #CommunityProperty #Finance #PersonalFinance #RetirementPlanning #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo

Most 401k plans offer an auto-escalation feature that gradually increases your contribution rate each year, yet fewer than 30 percent of participants actually opt in. In this episode, Lucas and Luna examine how the 'save more tomorrow' psychology works, why inertia kills retirement savings, and how auto-escalation can boost your final nest egg by tens of thousands of dollars without requiring any painful budgeting. They walk through a concrete example: starting at a 6 percent contribution with a 1 percent annual increase, and what that compounds to over 20 years at a 7 percent real return. They also discuss the behavioral economics behind it—why people accept future increases more readily than present ones—and why employers should consider making auto-escalation the default rather than an opt-in. If you've ever felt stuck at a savings rate that's too low, this episode shows you the easiest fix available inside your own plan. #401k #AutoEscalation #SaveMoreTomorrow #RetirementSavings #BehavioralEconomics #CompoundInterest #PlanDesign #AutomaticEnrollment #EmployerPlan #PersonalFinance #FinancialWellness #Inertia #NudgeTheory #RetirementPlanning #Finance #FexingoBusiness #BusinessPodcast #The401kPodcast Keep every episode free: buymeacoffee.com/fexingo

In this episode of The 401k Podcast, Lucas and Luna uncover the hidden costs of borrowing from your 401k. They break down the double taxation trap, the opportunity cost of missing market gains, and the real risk of default if you leave your job. With a concrete example—a $50,000 loan over five years at 8% interest—they calculate the total dollar impact and compare it to alternatives like a personal loan or a Roth IRA withdrawal. They also discuss recent data showing that one in five 401k participants has an outstanding loan, and what that means for retirement readiness. If you've ever considered tapping your 401k, this episode gives you the numbers you need to decide. #401kLoan #Retirement #Finance #FexingoBusiness #BusinessPodcast #DoubleTaxation #OpportunityCost #RetirementSavings #LucasAndLuna #401k #InvestmentStrategy #FinancialLiteracy #DebtManagement #TaxAwareness #CompoundInterest #Employer401k #LoanDefault #RetirementPlanning Keep every episode free: buymeacoffee.com/fexingo

Episode 11 of The 401k Podcast breaks down the hidden revenue streams inside your employer-sponsored retirement plan. Lucas and Luna examine the three main ways 401k providers profit — revenue sharing from mutual funds, sub-transfer agent fees, and float income on cash balances — using actual data from a typical $500 million plan. They walk through how a 1% expense ratio fund might actually cost you 1.25% when you factor in these invisible charges, and how plan sponsors can use fee disclosure audits to negotiate better terms. The episode also explains why many participants unknowingly pay more in fees than their employer match is worth, and what the Department of Labor's latest guidance means for fiduciary oversight. A practical episode for anyone who wants to understand what their retirement plan actually costs. #401kFees #HiddenRevenue #RevenueSharing #SubTransferAgentFees #FloatIncome #ExpenseRatio #PlanSponsor #FiduciaryDuty #FeeDisclosure #RetirementPlanning #EmployerPlan #MutualFundFees #CashSweep #DOLGuidance #ParticipantCosts #Finance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo