Suggested % to contribute to youy 401K? - Page 2

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polizei11 LSU Fan Lafayette Member since May 2009 605 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 8:46 pm to RickAstley) With company match, the limit is like $42K. I contribute 2% and my company gives 8%. I contribute an additional 8% to bring my contribution to 10%.
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yellowfin Illinois Fan Paige is Pretty Member since May 2006 51985 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 8:52 pm to vjp819) quote: i believe the limits 18% before taxes, and 75% after taxes. People under 50 have a lower limit then the over 50 crowd. Not for sure what the limits are. It's 17,500 and over 50 is allowed to make catch up contributions of 5,500. ETA: that's 2013 This post was edited on 1/2 at 8:54 pm
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TheTigerZone LSU Fan Moss Bluff ,La Member since Dec 2009 2343 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 9:04 pm to yellowfin) I'm at 6%
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Jwodie LSU Fan New Orleans Member since Sep 2009 3926 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 9:15 pm to TheTigerZone) My firm puts the equivalent of 5% of my salary into my 401k even if I put nothing in. I think that's pretty solid. I contribute an additional 7% on my own.
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CajunAlum Tiger Fan LSU Fan Broussard Member since Jan 2008 1583 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 9:18 pm to foshizzle) quote: Screw "typical". The correct answer is as much as you possibly can. And then a little extra.
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Bayou Tiger LSU Fan The Woodlands, TX Member since Nov 2003 2941 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 9:31 pm to CajunCaimen) At this point and here forward, I only contribute what it takes to get the company match. Additional savings go elsewhere. There is no way I won't take advantage of the free money (company match), but the outside chance of government takeover of 401k's or other penalties for people who have saved and "can afford to spread it around" keeps me wary of contributing more.
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The Cable Guy Iowa State Fan Baton Rouge Member since Aug 2004 9343 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 9:34 pm to Bayou Tiger) quote: There is no way I won't take advantage of the free money (company match), but the outside chance of government takeover of 401k's . I'm fairly abreast of things, but what is this about? Govt takeover that is.
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b-rab2 LSU Fan Lafayette Member since Dec 2005 8351 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 9:37 pm to DownSouthTiger) Sounds like me. company will match 6%. So thats what I put in, I max out my Roth IRA,and I fund another stock account and then I put the rest into savings
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Bayou Tiger LSU Fan The Woodlands, TX Member since Nov 2003 2941 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 9:45 pm to The Cable Guy) quote: I'm fairly abreast of things, but what is this about? Govt takeover that is. Nothing at the moment, but it would be an easy target to bolster social security funding. I'm just being cautious.
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LSUtigerME LSU Fan Walker, LA Member since Oct 2012 151 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/2/13 at 9:52 pm to Bayou Tiger) quote: At this point and here forward, I only contribute what it takes to get the company match. Additional savings go elsewhere. There is no way I won't take advantage of the free money (company match), but the outside chance of government takeover of 401k's or other penalties for people who have saved and "can afford to spread it around" keeps me wary of contributing more. Besides the "conspiracy theory" sound to it, I just switched to this style of savings. Really no reason at all to contribute more to a 401k plan than what it takes to get the free money. I can put the additional savings into other plans with similar (or better) tax benefits, all with additional options and greater freedom if times get tough. Some 401k plans, such as mine, allow you to take a penalty free loan, for a pretty low interest rate. This loan is simply backed by the 401k investment, so you don't lose any earnings. Don't think an IRA will do the same (pre-tax contribution). And the $17,500 limit is only for pre-tax contributions to a 401k, correct? Any additional contributions can go toward an after-tax 401k (what's the point though unless just for match, right?).
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yellowfin Illinois Fan Paige is Pretty Member since May 2006 51985 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 6:27 am to LSUtigerME) Yeah the limit is for pre tax
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polizei11 LSU Fan Lafayette Member since May 2009 605 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 6:47 am to CajunAlum Tiger Fan) The correct answer is: 1.) Contribute as much as your company matches in 401k. 2.) IRA 3.) Contribute to get to max pre-tax contribution for the year in 401k. 4.) Other avenues of investing
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guttata LSU Fan prairieville Member since Feb 2006 18254 posts Online	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 7:29 am to polizei11) I put in $17k and the company matches 50%, so they just put a nice $8500 in the account yesterday. Free money!! Can't beat that.
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BestBanker New Orleans Saints Fan stuck in a moment Member since Nov 2011 1712 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 8:06 am to CajunCaimen) Do you have adequate insurance on your assets? Do you have 6-12 months of your gross annual income saved in a liquid accout? What is your consumer-debt load? Age? Company match amount? *Remember that any of your money that you deposit into a qualified retirement plan law account will be taxed at ordinary income tax levels to be determined at that point in time.
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rsande2 LSU Fan Member since Jan 2006 3423 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 8:36 am to CajunCaimen) quote: What is the "typical" percent you should try to contribute? As others have said you surely want to take advantage of the company match. Beyond that, other than the as much as possible line of thinking, I believe I read you take your salary now and multiply it by 20 and that should give you enough money for retirement.
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Hammond Tiger Fan Southern Fan Hammond Member since Oct 2007 10006 posts Online	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 8:54 am to saderade) I do 8% which is what the company matches. Until my kids graduate high school or college, I'm going to leave it as is. Once I'm finished taking care of them, I'll max it out.
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BigBoyTiger LSU Fan Chicago Member since Aug 2005 8507 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 9:20 am to Hammond Tiger Fan) I'm at 17% for this year...
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TheWiz LSU Fan NOLA Member since Aug 2007 6528 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 9:27 am to CajunCaimen) I'm upping mine from 10% to 15% in a week or two. Hopefully I'll have to make a big adjustment come raise time. I'm probably just being overly optimistic about recently getting my MBA.
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PlanoPrivateer LSU Fan Frisco, TX and Delray Beach, FL Member since Jan 2004 1112 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 9:42 am to vjp819) LINK quote: i believe the limits 18% before taxes, My wife has been contributiong more than 20% of her gross for a few years so I know it is not capped at 18%. 18% may be a rule your plan has but not the government. The above link will answer most of the questions I've seen in this post.
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GoCrazyAuburn Auburn Fan Member since Feb 2010 9091 posts	re: Suggested % to contribute to youy 401K? (Posted on 1/3/13 at 9:51 am to CajunCaimen) I would do up to the match limit. Do a Roth as well as you can so you can diversify taxable and non-taxable retirement income.
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