Quote Originally Posted by v3rd1g0
i'm pretty young and stupid, but what's 401k? lol
A 401k is a plan that allows you to save money on a pre-tax basis (as in before the government takes taxes on it). You set it up so that the money is taken directly from your check so that you never see it. Some employers will match the amount that you take out (it depends on the employer and what their terms are). You cannot touch the money without penalty until you are 59 and a half and once you DO start taking the money out, you have to pay the normal income tax rate on it.