The 401K plan in USA allows the workers to save for their retirement and can save the income taxes on the saved money until the withdrawal. Generally the employee chooses to move a portion of wage directly into the 401K or pension account. Financial term this is called “contribution”.

Most of these 401K plans are being sponsored by the employer as a benefit to the employee. The employee can also contribute some more if he likes. In the most popular participant-directed plans the employee can identify the investment plan where he wants to invest. The employee can choose to invest in mutual funds, stocks, bonds, money market or those with a mix portfolio. Even some employer offers the employee to purchase the company stock with the money. So to secure a healthy retired life the proper financial advice is essential to invest the money.

The right investment advice 401K can always help to find serenity of future. Basically there are some available investment options are to put the money in mutual funds with

* Mid cap stock fund
* Large cap stock fund
* Small cap stock fund
* International stock fund
* Bond fund
* Money market fund

Based on these funds and their respective risk factors and high return, you have two different investment options in Growth and conservative portfolio. Generally the people with a long term investment goal invest in growth portfolio which have a risk factor although the return is high. But in conservative portfolio the risk is less but the return is not as high, so taking the financial advice for 401K always better. Lets checkout a video on investing the 401K money.