Capitalism sure loves layoffs.
If current WF stock price above 49 holds (or improves) until 401K match, that would svck. Because we all know we'd be gifted shares at a high and, when selling off in droves, it would be at a low (would be a loss of value). No one wants to hold this dog in portfolio.
"inexorable"
+1 for vocabulary!
This is why i converted my 401k over to 100% esop when it dropped to ~38 couple months ago. Time to move back out and profit!
As soon as the stock lands in your account, dump it to stable value and wait for a decline in the market. Then, reinvest that match into large cap.... but wait until a low low. Right now everything is high. Be patient... there will be a decline.
Rebalance out of the stock ASAP. This company is severely ailing and in an inexorable decline, notwithstanding the recent uptick in share price.
If your salary is that high, being concerned about a maybe 1% drop in your annual 6% match is ridiculous. It's not like it's a 1% loss in your total 401k value.
And again, more importantly: WFC has not dropped significantly at all post-match in previous years. It's kinda crazy you're this bent out of shape that something that: 1) has never happened, and 2) may not happen in the future, and 3) won't be a big deal if it does.
All the big banks are up 5% - 13% within the last 5 days, its just based on recent market news. It's not at all related to the timing of the 401K match.
@clw
"6% of any salary is still just 6%."
Tell me your salary is low without telling me your salary is low.
My entire team gets a healthy 401K match. Their salaries are $230K+.
Why do you think so many were upset bc of change to annual and must be employed on Dec. 15 to get it? Because the $$$ is sizeable enough to matter.
@clw+1q4q6APz 6% of any salary is still just 6%. And if that 6% is more than 1% of your total portfolio congratulations, you did it wrong. Not to mention the fraction of a percentage point that any singular days’ losses on your match would equal. You insinuate that your match is “significant” in which case your existing portfolio should be equally significant making the match essentially insignificant.
So yes, your concerns are overblown.
Clearly you didn't watch each day's activity after last 401K match. That's what poster likely meant when talking about timing the sale. I and many others lost out last year due to dip from one day to the next.
Also, you must not be getting a healthy match to call the concerns "overblown". It is very significant for those of us who contribute to the max and get large match.
Its rising because WF is in the market buying stock needed for the 401k match.
Wells is moving literally PENNIES in either direction. You can't time Empower transactions, so consider just not sweating it and reallocating as soon as you're able.
@bkf
WFC went up another 10%+ throughout January after 401k matching was processed at the end of 2022, so you wouldn't have lost money. It increased nearly as much in January 2022 after 2021 matching was posted. What year are you referring to? They've only been doing full-year matching for a few years.
I think your concerns are overblown. Maybe you lose 1% between the time you initiate the sale and it closes. It isn't that big of a deal.
I was thinking the same thing when I saw the stock price today. Destined to drop. It always does. WF can't hide its failures for long.
@jhm
Sales transaction isn't immediate. Sold immediately b4 and our stock price dropped between initiation and close. Given WF stock volatility, virtually impossible to time the sale.
Just go in immediately and shift those funds over to a different investment. It's not difficult, takes about 20 seconds. If you're that confident the market is going to dip, put it in a money market and reallocate once the market drops.
But yes, overall it does su-k that we get a lump sum match instead of spread out quarterly.
The cruelty is the point.