What to do when your 401(k) suc(k)s

Here are a couple of good articles that point out there are times when you should NOT participate in your employers 401(k) plan.  SmartMoney article. Ask Holly article.

If your employer's 401(k) plan:

(1) offers no matching funds,

and

(2) charges a commission on your purchases (also called a front-end load, or sales charge),

you should opt NOT to participate in your 401(k).  Instead, fund an IRA or Roth IRA.

If your 401(k) plan charges a commission on purchases, but does offer matching funds, you should only contribute enough to obtain the maximum employer matching funds and no more.