401k plans by Fidelity Investments

The 401k plan offered by Fidelity Investments is a type of investment account, which offers its owners a tax free environment in which they can deposit their savings.

The employer will then match a certain amount of money, to the amount deposited by the employee. An employee has the option of depositing up to 15 thousand dollars yearly, and a maximum of 20 thousand dollars yearly, in case the individual is over 50 years of age. All contributions made into this plan, can be deducted from your income tax.

401k Fidelity investment accounts are normally offered by larger companies, which will be able to get a better deal with a broker. The investment options will however be somewhat restricted. Other investment plans, such as regular brokerage accounts or IRAs do not normally have this problem.

In the event that you are offered the opportunity of contributing into a 401k plan by Fidelity Investments, then you should invest as much money as you can afford, as frequently as possible, and as early as you can manage. Don’t forget that the more money you save in this plan, the greater will be your employer’s match. This is the fastest and easiest way for you to double your investment!

You should also remember that Fidelity 401k plans are tax-free, which is the reason why some investment options may be better than others. Real estate indexes for example, can be one of the best choices for young people, since this index will generate a good amount of gain. Bonds on the other hand might be a better option for the last years of a 401k plan.

Reference: http://www.job-employment-guide.com/fidelity-investments-401k.html