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re: Just started my first Job out of college

Posted on 3/11/10 at 9:45 am to
Posted by LSURussian
Member since Feb 2005
126965 posts
Posted on 3/11/10 at 9:45 am to
quote:

The company matches 4% thats why I put that amount.
Taxpayers match your contributions approximately 30 cents on the dollar for a deductible IRA, depending on your state income tax status.
Posted by Dusty Bottoms
Guadalajara
Member since Nov 2006
931 posts
Posted on 3/11/10 at 10:16 am to
quote:

Taxpayers match your contributions approximately 30 cents on the dollar for a deductible IRA, depending on your state income tax status.


The same is true for a 401k.

Park tax deferred money in the 401k and use the $5k IRA limitation to contribute to a tax advantaged Roth IRA. This type of diversification is highly underrated.
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