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re: 401k - Max in January or average throughout year

Posted on 12/28/17 at 3:06 pm to
Posted by sneakytiger
Member since Oct 2007
2473 posts
Posted on 12/28/17 at 3:06 pm to
The new tax rates are effective Jan 1 2018. Not sure what you mean?
Posted by Wade Phillips
Member since Dec 2008
573 posts
Posted on 12/28/17 at 3:25 pm to
quote:

The new tax rates are effective Jan 1 2018. Not sure what you mean?


I understood that paychecks wouldn't reflect the changing rates until February. So if my employer's system still withholds at old rates, I'm wondering if I'm able to recapture the tax difference from a Roth deposit on my 2018 tax returns or otherwise. I'm sure I am not framing the issue well, but if I'm paying 28% rate on a Roth 401K max out in January, which withholding would be taxed at a rate of 24% in March, when/how would I be able to recoup that delta?
This post was edited on 12/28/17 at 3:26 pm
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