Will I lose all my money in my 401k, please explain how this works.?

My 401k is at - 41%. If it goes down to - 100% loss, does that mean that my 401k is empty and I have lost all my money and I will have to start over? What does - 41% really mean?Will I lose all my money in my 401k, please explain how this works.?
It means that the value on today's stock market is down 41%. Does that mean that the companies that are underlying the value of those stocks are actually worth less? Not necessarily. Walmart today is worth pretty much the same as it was yesterday or last week.





The stock market is an auction, and if nobody is buying today, then prices go down, if lots of people are buying tomorrow prices go up. But what you are buying stays the same.





The chance that your 401K will go to zero is fairly remote. If you have 5 or more years to go before you retire, I would not worry too much. In fact, at the current prices, I am buying, because there are a lot of things that are on sale right now that I think will go up in value over the next 2 years.





What is of concern to me, is that you have invested in mutual funds, and through that, the stock market without understanding what you are doing, and why. I recommend that you read ';The Wealthy Barber'; by David Chilton (it is a skinny book that explains all about money, finance and retirement and saving). Also go to the following website.





http://beginnersinvest.about.com/od/401k鈥?/a>Will I lose all my money in my 401k, please explain how this works.?
It means the value of the shares in your 401k have gone down. Even if the value goes down to 0, you will still own the shares. When the economy goes back up, the value of those shares will go back up. The potential downfall would be if you own shares in a company that goes out of business. If you own shares in a company that goes out of business, then you might be in trouble.
No you won't lost all of your money unless all of the company's your invested in (stocks or mutual funds) go bankrupt (like Washington Mutual).





My financial advisors just held a really good webinar on this topic. Check out http://www.lightshipmutual.com/401k





They taught me where to put my money within my 401k to minimize my exposure to this recession.





It's a great source of information, saved me I dunno how much money and only cost $12 bucks.
Dude, your loss is pretty typical considering what is going on. Stay the course. History has rewarded investors who keep invested while others are fleeing.





My free downloadable book will explain EVERYTHING you've ever wanted to know about your 401K http://www.invest-for-retirement.com
It it goes down to zero it's going to be anarchy. Your 401k will go back up in time. If you're older i would move 50% of your money out of stocks into something safer, (Government bonds?) After the market recovers. See what your plans have to offer.