Checking your investment portfolio can take serious courage these days. Even investors with a "greed is good" philosophy have been pretty shaken up, especially since today's stock market more closely resembles Titanic than it does Wall Street. The key to evaluating retirement savings options is knowing your risk tolerance.

Risk Tolerance: Know Yours Before Moving Funds
If you're still a young puppy who won't retire for decades, you can worry less about your investments vaporizing in volatile markets. But you also have to take your sanity into account--if you are sickened by speculation, disturbed by the Dow, or freaked out by funds, choose safer investments or get some therapy! Besides your temperament, consider the following before moving or withdrawing funds from retirement accounts:

• How Much Time Until Retirement: If you have ten or more years until retirement, your investments will probably bounce back. You may want to increase your contributions while stock prices are lower. And if your employer makes matching contributions, contribute at least enough to take full advantage of this--it's free money, duh. As retirement nears, gradually shift more money into safer, insured vehicles like certificates of deposit and money market accounts.
• How You Earn a Living: Job security is about as scarce as lottery winnings, but if you have a solid career with good benefits, or work in a secure field (think healthcare and education), you may have more risk tolerance than if you're threatened with layoffs or change jobs frequently. Otherwise, make sure you fund your safety net (several months' of expenses in a safe account) first, then worry about retirement.
• Debt: If you carry credit card debt, paying it off can provide a higher return than many investments. So kick that Visa habit and pay that sucker off. Once it's gone you can double up on savings!
• Dependents: Dependants can alter your retirement plan. Although experts advise against forgoing retirement contributions to pay for your kids' college, dependents' needs can influence retirement planning--in general more dependants equals less risk tolerance.
• Health Issues: If you or someone in your family is chronically ill, this can change your retirement outlook and investment strategy. Insurance (life, health, and long-term care) should be considered part of your investment portfolio--as important as your mutual funds and certificates of deposit.

Once you know your risk tolerance, you may wish to switch some or all of your retirement account options. Here are some things to avoid:

• Withdrawing funds from your 401(k) or regular IRA accounts: Early withdrawal equals penalties, tax bills, and forgoing all that lovely money those investments could be earning. Treat retirement money like a cactus--hands off!
• Panic: Retirement accounts are designed for long-term growth, so "day trading" and reacting to financial news by frequently switching investments generally does more harm than good. Financial advisors recommend occasional adjustments (some plans even adjust automatically for you as you age) but not daily micro-managing.
• Ignoring retirement savings: Don't neglect saving for retirement. Setting up automatic payroll deposits can help you save for your future. And remember that earlier is easier so start ASAP.

If you haven't started saving for retirement, or are unsure of your options, consulting a financial advisor can help you establish a retirement savings plan that matches your risk tolerance and individual circumstances. And allows you to sleep at night.