The 401(k) program has prepared millions of Americans for retirement, however it has fallen short in several areas. The 401(k) program does not encourage Americans to diversify enough and stimulates Wall-Street more than Main-Street. It also directs money towards risky investments that should should have been used to pay down personal debt.
We need to better prepare Americans for retirement, insure that they have a home to live in post-retirement, and reduce personal debt.
Americans should be allowed to pay down their principal and have taxes deferred just as is done with the 401(k). This program would greatly reduce the time it takes for people to pay for their homes and will help stabilize the housing market.