Is It Better to Save by the Dollar or by a Percentage?
When contributing to your employer-sponsored plan, you can choose to defer your income by a dollar or a percentage amount. The smart thing to do is to opt for whichever makes you save more. An automatic deduction from your paycheck is an effective way to save for retirement regularly. When initially enrolling in a 401(k) or other plan, you elect how much, in dollar or percentage terms, you want to contribute each pay period....
