For most people, 401(k) plans are likely to become your largest asset - by a wide margin. In fact, the value of these plans probably will become larger than all of your other assets combined. Furthermore, your 401(k) plan is likely to be your primary source of retirement income.
The recently enacted Economic Growth and Tax Relief Reconciliation Act of 2001 (The Act) provides for some important changes to 401(k) plans. These are discussed below.