My son is 24 ... would it be wiser to max his 401K plan now..

Yes, absolutely, yes. Nothing beats tax deferred compounding in an S&P 500 ETF, especially when you're at that age.

1) Set up transfers from every paycheck (twice a month) to the 401K plan.
2) Set the amount to be transferred as $23,500 (max allowed in 2025) divided by the number of paychecks per year
3) Have that invested 100% in an S&P 500 index fund (like Vanguard Index 500 Trust). Every 401K plan has this option.
4) Don't touch that money.
5) Don't get cute and try to time the market.
6) Focus on his career, not the market. Get promotions and raises so he can add bigger amounts to that retirement index fund each year.
7) He can diversify to a stock/bond mix once he gets to his financial independence number

Happy Thanksgiving weekend to you and your family.

Mechinv
To succeed at investing, your emotional fortitude counts for way more than your IQ

Mechanical Investing FAQ

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