401K question. Why do most financial analysts recommend only contributing an amount

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equal to the company match? I contribute quite a bit more than the company match of 6%. Should I reduce it and put that money in another IRA account? which one?
 
Everyone's situation is different, but you might be better off reducing the 401k to the company's match and putting the rest in a Roth IRA.

The 401k money is tax-deferred, while the Roth money is not deductible, but the Roth money will be tax-free when you start making distributions, while the 401k money will be taxed.

Speak to your financial advisor to see what is best for you.
 
What they recommend is contributing enough to "max out" the company match because that's free money to you. After that, contributing to a Roth IRA makes the most sense in the long run - because the Roth allows tax-free distribtitions once you reach age 59 1/2.
 
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