You might see it thrown in casually among the company benefits that you pore over during your job search, right next to "HMO" or "company gym." 401 (k)? What does it mean? Is it anything like 4H? Actually, this might be the most important benefit your company can give you, next to health insurance.

You've heard of pensions, right? Well, companies are not quite so inclined these days to guarantee their employees anything, much less a nice pot of gold when they retire. This cut-back of pension plans, along with the current threats toward Social Security, make old age look like something to avoid.

However, many companies are nice enough to offer a 401(k), a savings plan which automatically removes a small slice of your paycheck and drops it into that selfsame pot of gold, presented to you at the age of 59?. The government weighs in with heavy tax penalties for pre-retirement withdrawers; this will keep your hand out of the cookie jar until the ascribed time. Like school credits, and unlike pension plans, your 401(k) savings move with you when you change companies.

Many workers in their 20s believe that old age is far away, and refuse to take out a piece of their salary for that eventuality. But they forget that it takes a lot of saved-up money to live comfortably without working. So the 401(k) plan is an important benefit to look for; you can vastly improve the last part of your life today.