A. 2013 is the best performing year in the past 10 years, however, there are still a few ways you can pay attention to in order to improve your 401(k)'s return.
a. Increase your contribution
Many companies provide automatic enrollment for 401(k) accounts, but there is typically a limit, such as 3% of salary. If you can contribute more, you need to make manual change in your HR system.
b. Get the maximum employer match
Most employers have picked up or even increased their employee 401(k) contribution match in 2013 or 2014, make sure you get it. If you have more money, you can put more, if you haven't reached the allowed 401(k) contribution ceiling in 2014: $17,500. If you are older than 50, you can have additional $5,500 catch up contribution in 2014.
c. Rebalance your portfolio
Especially for target date retirement fund, if it is a core holding in your 401(k) account, you need to double think, because some of such target date funds are loaded with more expensive funds. And some are loaded more cash or bonds, which are supposed to be safe but chances are not in 2014.
d. Check your expenses
Even 1% expense in your 401(k) holding could create a big difference to your available retirement use fund. The best way is to use low cost index funds, or at least keep them as the core holding of your 401(k) portfolio.