Personal Finance & Money Stack Exchange
Personal Finance & Money Stack Exchange

Questions tagged [roth-401k]

A specific retirement plan in US. Related US specific retirement plan tags "Roth IRA" and "401K"

A specific retirement plan in US. Related US specific retirement plan tags "Roth IRA" and "401K"

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Recent graduate with new job: Choose Roth 401(k), or traditional 401(k)?

I just graduated, and I'm starting a new job soon. My employer has pretty good policy for matching 401(k) contributions, so I want to invest as much as possible, especially during this first year. My question is: should I invest in a traditional…
Jay
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Why should I invest so much in 401(k)?

I am 24 yrs old and am making $60,000/yr while saving ~41% of that. 28% of which is going to my Roth 401(k) and the rest is going into a TD Ameritrade and a small amount into a Robinhood account (both managed by me currently). While I was reviewing…
JoeBo
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Do traditional and Roth 401k have the same annual contribution limit?

According to everything I can find, the annual contribution limit for both traditional and Roth 401k is the same ($16500 in 2010). Since the Roth is post-tax, doesn't that mean I can save more for retirement by maxing out a Roth 401k than by maxing…
Mark E. Haase
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Could my employer match contribution have caused me to have an excess 401K contribution?

Could my employer's match have caused me to have an excess 401K contribution? For 2020, I contributed the maximum into my 401k-Roth, $19,500. I also made a catch-up contribution (I'm eligible) to my 401k-traditional of $6500 for 2020. So I believe…
Ira
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Laid off at age 54 1/2, am I eligible to withdraw my 401k money without penalty?

I will be turing 55 this year in November. I got laid off 2 weeks ago (April 4, 2016). I worked in New York City and live in NJ. Can I withdraw my 401k without penalty?
Doublespeed
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Is your future tax bracket the ONLY consideration for Roth vs Traditional 401(k) accounts?

I understand that Roth contributions get taxed on the way in. Income tax now at whatever tax brackets currently apply, no tax to pay when I take distributions at retirement. I understand regular pre-tax 401(k) contributions get taxed at retirement…
DVCITIS
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Confusion about Roth 401K: Better for me to do pre-tax or Roth post-tax contributions?

My company offers a 401K and a Roth 401K. Given the income level of my family (married filing jointly status), IRAs aren't really an option. We're past the Roth IRA limits and get no deduction for a regular IRA. Currently I contribute to my…
justkt
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Can I withdraw Roth 401k contributions penalty-free before age 59.5?

I know that with a Roth IRA, contributions can be withdrawn penalty-free at any time. If I rollover a Roth 401k into a Roth IRA, can I do the same with the contributions made to the Roth 401k? I've read that the entire Roth 401k->Roth IRA rollover…
Andrew Coleson
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If you inherit a Roth 401(k), is it taxed?

My understanding is that a Roth IRA can be inherited and the U.S. government doesn't put an inheritance tax on it. Does that also apply to a Roth 401(k)? In other words, if I died, would my children inherit my Roth 401(k) without that 401(k) facing…
Stan Shunpike
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Employer offering Roth 401k as well as traditional 401(k), established in career

I am 33 years old and currently enrolled in my employers traditional 401(k) plan where I am putting 4% of my salary pre tax and having a maximum of 4% employer match into my plan. After 6 more months of seniority I will be 100% vested and that…
maple_shaft
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Should I use a Roth 401K rather than 529 to save for children's college?

I have set up a 529 for my child's college fund but the more I look at it the less useful it seems compared to alternatives. The 529 is quite restricted -- What if she doesn't go to college? What if she gets a full scholarship? What tuition benefits…
Matthew
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Could a 401k or IRA contribution switch my current taxable income to a lower tax bracket? Is this the same for traditional and Roth 401k?

In the case that your annual income is right in the limit between one tax bracket and the next tax bracket, can contributing to a 401k or IRA reduce your present income declaration in such a way that your taxes fall into a smaller tax bracket? Does…
Peretz
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With tax-free earnings, isn't Roth 401(k) almost always better than 401(k) pre-tax for a young person?

I can start withdrawing from my 401(k) in 30 years. I'm currently in one of the the highest federal tax brackets and will likely be in the lowest tax brackets when I start withdrawing. That alone might indicate that I should avoid taxes now (to the…
Wuschelbeutel Kartoffelhuhn
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Should I consolidate my retirement plans if both are performing well?

I worked for a company between 2010-2014, and have an established retirement plan through T. Rowe Price which they matched into. In 2014, I changed jobs and had a new retirement plan opened under Charles Schwab. I now have two 401(k) accounts (both…
MrDuk
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Can I contribute to a 401k, Roth 401k and Roth IRA at the same time?

My company provides me access to 401k, and I am contributing the maximum allowed in that 401k. In addition I also have Roth IRA (I qualify for it because of income less than $193000). Recently, my company has said now we have option of regular 401k…
Carlos
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