401k advice for my father

[growingstaches]

Edit:  Father's age is 55.
Edit2:  Father makes less than $50,000 / year and is single.

After reviewing my fathers 401k option we need advice.   Here are the details.   He has worked at the same company for 37 years.  The bulk of his retirement will come from his pension.  We received a letter stating that is current monthly expectation is $1350 per month.   Not exactly sure how long he must work before he can collect that benefit.   The main question we have is what to do about his 401k.

Many years ago a 401k was offered.    I'm trying to figure out if he should stop contributing, and instead contribute to something else like an IRA.   There is no company match.   Current balance is $24,000.

The only index fund available which we have moved all money to is this.

PRUDENTIAL STOCK INDEX FD CL Z - PSIFX

Expense ratio listed within his plan website is .49%

Let me know what you think.

[Gimesalot]

I think the answer depends on your father's income and whether he can contribute to a Roth IRA or not.  If he has a 401k at work, it is most likely that he will not be able to deduct his contributions to a IRA.  Therefore, the Roth would be the best option because he pays taxes now, but no taxes on the gains. 

Regarding the funds... Just for comparison, the Vanguard S&P 500 index fund has an expense ratio of 0.17%.  I would suggest that your father invest in an IRA that has a wide selection of index mutual funds or exchange traded funds.