[JunkDNA]

It all depends on what your investing your 401k in, but putting it in a stock index fund is a pretty good guard against inflation. Stocks will adjust accordingly to inflation, but putting the money in the bank certainly won't. Also, it is amusing to me that people freak out and stop investing when the market tanks. That's like only buying groceries when they aren't on sale! The best time to buy stocks is when they are down. If you invest consistently over boom and bust, you can insulate yourself pretty well against major swings. Of course, free advice from strangers on the Internet is worth what you pay.