View in: Desktop
Copyright @2024 TigerDroppings.com. All rights reserved.
- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Posted by
Message
401k Traditional vs Roth 401k vs Post-86
Posted by Kolbysfan on 8/16/17 at 3:17 am00
My company offers all three as well as 6% match and profit sharing which is deposited into the traditional.
Presently, I contribute to the traditional first, till I have contributed the 6%. Afterwards I contribute the limit (5,000?) to the Roth. Once limit hit, I fall back to traditional. I also contribute 1% to the post-86.
Does this sound ok?
Edit- we also max out HSA.
Presently, I contribute to the traditional first, till I have contributed the 6%. Afterwards I contribute the limit (5,000?) to the Roth. Once limit hit, I fall back to traditional. I also contribute 1% to the post-86.
Does this sound ok?
Edit- we also max out HSA.
This post was edited on 8/16 at 3:43 am
My understanding is the Roth 401k and regular 401k contributions combined count towards the 18,000 limit for 401k's. You could still contribute the max 5500 to a Roth IRA if you're under the income limit. The Roth 401k has no income limit so it let's people above the income limit on a regular Roth contribute after tax dollars.
I assume the OP meant he contributed 5k to a Roth IRA (max is 5.5k). I'm not very familiar with the Post 86 option, but basically you're putting after tax money into your 401k.
You'd be better off putting that 1% into traditional (lower taxes) or Roth (no capital gains). If you have reached the 401k limit of 18k, then you could put after tax money up to 54k.
Though I don't know why anyone would do this. The only reason I can think of is if for some reason the 401k is your only investment vehicle with good options.
Maybe there is some tax situation that would make this beneficial, but wouldn't help most people.
You'd be better off putting that 1% into traditional (lower taxes) or Roth (no capital gains). If you have reached the 401k limit of 18k, then you could put after tax money up to 54k.
Though I don't know why anyone would do this. The only reason I can think of is if for some reason the 401k is your only investment vehicle with good options.
Maybe there is some tax situation that would make this beneficial, but wouldn't help most people.
re: 401k Traditional vs Roth 401k vs Post-86Posted by iknowmorethanyou on 8/16/17 at 7:04 pm to gpburdell
It's my understanding that the Post-86 can be rolled into a Roth at severance.
Back to top
Follow TigerDroppings for LSU Football News