Don’t confuse wealth creation with retirement saving
Don’t confuse wealth creation with retirement saving
Building retirement savings is not the same as wealth creation.
Wealth creation, and getting rich quick, are very tempting, especially in an era of high-flying stocks and mega-growth companies.
But stock grants and stock options today — and the promises of wealth they offer — are not a substitute for retirement security in 20 or 30 years. Outside of a retirement account, what is to prevent someone from spending a windfall when it lands? It is unclear how this equates to preparing for retirement.
Pensions & Investments on Feb. 8 reported that Tesla Inc. in 2020 did not make matching contributions to its 401(k) plan, and had not for three consecutive years.