401(k) and Charitable Contributions for 2009

Posted by: michael on Jun 28, 2010  

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by Michael McBurnie
CEO, MyTherapyCompany

For those of you in the 401(k) plan, if you have not looked at your statements recently, please do! Ten percent of the company’s profit was put into the plan this January for 2009. It is my intention to continue this policy from year to year. Please, if you have not already done so, consider enrolling in the plan. Most of your retirement income will come from you, not social security. Much of it may come from working after retirement!

The current average breakdown for sources of retirement income is follows:

  • 37 % from Social Security
  • 13 % from Saving and Investment
  • 19 % from Pensions
  • 28 % from Earning fromWork
  • 3 % other

Sources of Retirement Income

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To give you an example of how this works, if starting at 21 you saved just $30 a week for 14 years and then stopped saving, you would end up with $287,267 at the age of 65 assuming a return of 7.2 percent. If you did not start till 35 and saved $30 a week for 30 years, much longer than the 21 year old, you would end up having only $152,769. The magic of compound interest at work!

Start as early as possible, but whenever you start, try to add something each month.We offer a choice of a traditional 401(k) which is taken out of your check pre-tax or a Roth 401(k) which is deducted after taxes. Your total limit for 2010 is $16,500 or $22,000 if you are 50 or older.

This past year MyTherapyCompany gave ten percent of the company’s profits to charities and will continue to do so each year. Some of the groups we supported in 2009 include the following:

  • Sierra Club
  • Red Cross
  • Doctors Without Borders
  • The Panchamama Alliance
  • Institute for Responsible Technology
  • Stress Free Schools
  • MA Center
  • Food Democracy Now

We have selected a variety of organizations both national and international in scope. From better quality food in our schools, international assistance to Haiti and other countries, environmental organizations working to improve our air and water, to saving the rain forests by helping to empower indigenous cultures in the Amazon, and teaching at-risk kids better coping skills – we have supported causes and groups that better humanity.

If you have a suggestion for a non-profit or cause you would like us to consider, please email me at This e-mail address is being protected from spambots. You need JavaScript enabled to view it .


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