What to Expect if Your Employer Offers a Securian 401(k)
- The Securian 401(k) is a tax-advantaged way to save for retirement. Find out what features you'll experience if the company you work for provides this plan.
Many employers offer retirement plans so you can invest your earnings and receive tax advantages and other benefits. Explore the features of the Securian 401(k) so you can make an educated decision about investing in one if the company you work for offers this type of account.
How Does a 401(k) Work?
Like other 401(k) accounts, the Securian 401(k) lets you divert a percentage of your pretax salary to an investment plan. Your employer might also match all or part of the funds you invest for retirement. The retirement savings you set aside in your 40(k) will accumulate interest over the years. You also save on your income taxes now since the IRS doesn't tax 401(k) contributions until you withdraw the money when you retire.
You can set aside up to $20,500 in your Securian 401(k) in 2022. If you're 50 or older, the IRS has increased your 2022 limit to $27,000.
If you decide to withdraw your 401(k) funds before you reach age 59 1/2, you'll be charged a 10% tax penalty. You'll also need to pay income tax on the amount you take out of your account. At age 72, you'll need to start withdrawing the required minimum distributions from your 401(k).
What Features Does a Securian 401(k) Offer?
Securian specifically offers 401(k) plans for portfolios worth up to $2 million. The company provides daily revenue sharing, credits for foreign taxes and efficient share classes to improve the performance of your investments while reducing associated costs.
Once you contribute to a Securian 401(k), you can choose to invest your money in thousands of different assets. Investment choices with this type of account include:
- Target date, target risk, stable value and other collective investment funds
- Active and passive mutual funds
- Institutional accounts
- Variable insurance trusts
You can manage your own investments or enroll in professional plan management.