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re: 401k

Posted on 1/8/20 at 9:03 pm to
Posted by Prix560
Member since Jan 2008
958 posts
Posted on 1/8/20 at 9:03 pm to
I was advised about 5 years ago to meet the minimum of the 401k, and then flood my Roth. The advisor told me that many of his clients cant really dig into the 401k without getting a huge tax hit. The Roth will allow for a larger sum upfront while living off of the 401k.

I'm putting 11% 401k and 15% Roth.
Posted by ComebackEllisHugh
Baton Rouge
Member since Jan 2020
29 posts
Posted on 1/11/20 at 4:50 pm to
My understanding is that maxing the Roth first is the better choice for people expecting to be in a higher retirement income tax bracket. Maxing the 401K first is a better choice for those not expecting to pay a lot of retirement income tax.
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