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Permissibility of 401K Plan

In order to have my 401K contribution matched by my employer, I must either invest 30% of my money in mutual funds that may or may not be Shariah-compliant or in government bonds that would give me a small interest rate. Would investing in the governmen

This is not investment advice but a general answer to the Shariah-compliance aspect of your question. If your company permitted you to choose your stocks, say a small basket of Shariahcompliant stocks prescreened by you, this would be permissible. It would not be permissible to invest in a bond with the intention of donating the charity. The following link has further information on 401Ks: http://spa.qibla.com/issue_view.asp?HD=1&ID=4348&CATE=5

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