Yes! You can use AI to fill out The William Blair 401(k) and Profit Sharing Plan

This mistake occurs when new employees fail to actively enroll within 30 days, often due to procrastination or feeling overwhelmed. Consequently, they are automatically enrolled at a default 6% pre-tax contribution rate into a generic target-date fund. This may not align with their personal savings goals or risk tolerance, and they miss the initial opportunity to choose other options like a Roth 401(k). To avoid this, proactively enroll via the app, website, or phone as soon as you are eligible to customize your contribution rate and investment choices from the start.

Employees often contribute less than 6% of their pay, not realizing they are forfeiting free money. The plan matches 50% of the first 6% of pay contributed, meaning an employee contributing less than 6% is leaving part of the company match on the table. This significantly slows down the growth of their retirement account. To avoid this, always contribute at least 6% of your eligible pay to ensure you receive the maximum possible matching contribution from William Blair.

Designating a beneficiary is a critical step that is frequently overlooked during the enrollment process or forgotten after major life events. Without a designated beneficiary, the plan's assets may be distributed according to default plan rules or enter probate upon your death, which can be a costly and lengthy process that may not align with your wishes. To prevent this, designate primary and contingent beneficiaries immediately upon enrollment and review them annually or after events like marriage, divorce, or the birth of a child.

Married employees are often unaware that federal law requires their spouse's written consent to name someone else as the primary beneficiary for their 401(k). Attempting to name a child or another relative as beneficiary without this consent will render the designation invalid. In this case, the assets would legally default to the spouse, overriding the employee's stated intentions and potentially causing family disputes. To avoid this, ensure you complete and submit the required spousal consent form if you are married and wish to name a non-spouse beneficiary.

Many individuals default to traditional pre-tax contributions without considering the long-term tax implications. This can be a missed opportunity if they expect to be in a similar or higher tax bracket in retirement. By not using the Roth 401(k) option, they lose the chance for tax-free growth and tax-free qualified withdrawals in retirement. To avoid this, evaluate whether paying taxes now (Roth) or deferring them (pre-tax) is more advantageous for your financial situation, consulting a tax advisor if necessary.

Employees may opt out of the automatic 1% annual contribution increase to avoid a small reduction in their take-home pay. This is a mistake because it negates an effortless and disciplined way to boost savings over time. The consequence is a significantly smaller retirement nest egg than what could have been achieved with consistent, small increases. To avoid this, allow the automatic savings increase feature to work for you, as it helps your savings rate keep pace with your career growth with minimal impact on your budget.

Employees might skim the plan details and incorrectly assume they are eligible for the discretionary profit-sharing contribution from day one. This leads to flawed financial planning and disappointment when the expected contribution doesn't appear. The plan clearly states that eligibility requires two years of service and being employed on December 31. To avoid this, carefully read the specific eligibility criteria for each type of employer contribution and distinguish them from the immediate eligibility for the company match.

The Schwab Personal Choice Retirement Account (PCRA) is explicitly designed for knowledgeable investors, but some may be tempted by the wider range of options without understanding the risks. This can lead to poor investment choices, higher fees, underperformance, and even violations of the company's personal securities trading rules. To avoid this, stick to the plan's core investment options or target-date funds unless you are an experienced investor comfortable with self-directing a brokerage account and managing its associated risks.

Simple typos in names, dates of birth, or Social Security numbers are common when filling out online enrollment forms. These data entry errors can cause significant administrative headaches, including delays in account setup, problems with contribution processing, and issues with future distributions or rollovers. To avoid this, meticulously double-check all personal information before submitting. AI-powered tools like Instafill.ai can help prevent these mistakes by accurately auto-filling and validating personal data on web forms.

It's common for employees to 'set and forget' their 401(k) after initial enrollment, neglecting to review their quarterly statements. This passivity means they may not notice if their investment allocation has drifted away from their target due to market movements, or they might miss important account notices. Over time, this can result in a portfolio that is no longer aligned with their risk tolerance or retirement goals. To avoid this, set a recurring reminder to review your account statements each quarter and rebalance your portfolio at least once a year.