t******y
发帖数: 147 | 1 公司1:1 match，up to 6％
我是不是最好只存入6％呢？
另外，是选择pretax还是after tax好？ | n******e
发帖数: 281 | 2 Pretax 6% at least and up to $16,500 per year or whatever makes you
comfortable | t******y
发帖数: 147 | 3 after tex的是不是不用交了？
【在 n******e 的大作中提到】
: Pretax 6% at least and up to $16,500 per year or whatever makes you
: comfortable
| n******e
发帖数: 281 | 4 You don't need employer's aftertax IRA.
Follow this sequence for your money:
0. Pay mortgage, bills, cars, kids, parents, in-laws, wife's mall trips,
husband's 5D2s etc.;
1. Fill up emergency fund (a few months' salary) in a bank;
2. 401k up to company match;
3. Roth IRA $5000 a year;
4. Nondeductible Traditional IRA $5000 a year - then convert to Roth;
5. Fill 401k up to $16,500 per year;
6. Still left over for investing? Congratulations on your successful career
and I suggest you invest a litt | X****r
发帖数: 3557 | 5 I think the op was probably talking about Roth 401k, not aftertax IRA.
Whether to choose between Pre-tax or Roth 401k depends on your
estimate of your income tax bracket when withdrawing from 401k
comparing to what your income tax bracket is now.
This, of course, depends on many factors and there is no universal
rule for everyone.
trips,
career
【在 n******e 的大作中提到】
: You don't need employer's aftertax IRA.
: Follow this sequence for your money:
: 0. Pay mortgage, bills, cars, kids, parents, in-laws, wife's mall trips,
: husband's 5D2s etc.;
: 1. Fill up emergency fund (a few months' salary) in a bank;
: 2. 401k up to company match;
: 3. Roth IRA $5000 a year;
: 4. Nondeductible Traditional IRA $5000 a year - then convert to Roth;
: 5. Fill 401k up to $16,500 per year;
: 6. Still left over for investing? Congratulations on your successful career
| n******e
发帖数: 281 | 6 Good point. The 6% match better be used on pre-tax 401k though. So add this
after my step 5: fill up Roth 401k if available up to $16,500.
I think the general rule is maxing out all 401k, 403b, 457b and Roth before
investing in taxable accounts. Paying less tax is always better.
I find it too complicated trying to calculate future tax situation. Fact is
nobody knows what their tax bracket will be when they are 59 years old.
Maybe we'll become UK and pay 50% tax to take care the social security.
【在 X****r 的大作中提到】
: I think the op was probably talking about Roth 401k, not aftertax IRA.
: Whether to choose between Pre-tax or Roth 401k depends on your
: estimate of your income tax bracket when withdrawing from 401k
: comparing to what your income tax bracket is now.
: This, of course, depends on many factors and there is no universal
: rule for everyone.
:
: trips,
: career
| g*****g
发帖数: 34805 | 7 Regarding future tax bracket, my opinion is saving to 401K is an
insurance against future uncertainty. Let's say you are unemployed
at 50s and can't find a new job. You pay 10% penalty to withdraw,
but you don't have to pay a penny of tax consider you don't have
more income than standard deduction and exemption. 10% is likely lower
than your current and future marginal tax rate.
That's of course, if you are comfortable. Don't sacrifice life quality
to max 401K.
this
before
is
Heck
pay
【在 n******e 的大作中提到】
: Good point. The 6% match better be used on pre-tax 401k though. So add this
: after my step 5: fill up Roth 401k if available up to $16,500.
: I think the general rule is maxing out all 401k, 403b, 457b and Roth before
: investing in taxable accounts. Paying less tax is always better.
: I find it too complicated trying to calculate future tax situation. Fact is
: nobody knows what their tax bracket will be when they are 59 years old.
: Maybe we'll become UK and pay 50% tax to take care the social security.
| n******e
发帖数: 281 | 8 Wow that is pretty sad situation. Will someone age 50 survive on such low
income? If it is me I'll just hang out in my son's house taking care of his
baby and live there for 9 years so I can take out my 401k penalty free :)
【在 g*****g 的大作中提到】
: Regarding future tax bracket, my opinion is saving to 401K is an
: insurance against future uncertainty. Let's say you are unemployed
: at 50s and can't find a new job. You pay 10% penalty to withdraw,
: but you don't have to pay a penny of tax consider you don't have
: more income than standard deduction and exemption. 10% is likely lower
: than your current and future marginal tax rate.
: That's of course, if you are comfortable. Don't sacrifice life quality
: to max 401K.
:
: this
| k***n
发帖数: 3158 | 9 As for emergency fund, people can always withdraw from IRA or get loan from
401K upon emergency. No need to put such a fund in the bank.
For emergency, people need to have some cash in hand, say a few thousand.
Just in case there is a bank run and you can not get any cash out of
anywhere
in an emergency situation.
【在 n******e 的大作中提到】
: Wow that is pretty sad situation. Will someone age 50 survive on such low
: income? If it is me I'll just hang out in my son's house taking care of his
: baby and live there for 9 years so I can take out my 401k penalty free :)
| X****r
发帖数: 3557 | 10 Generally, you're right, but sometimes you really need cash right away,
e.g. bail :) So a HELOC would come in handy.
from
thousand.
【在 k***n 的大作中提到】
: As for emergency fund, people can always withdraw from IRA or get loan from
: 401K upon emergency. No need to put such a fund in the bank.
: For emergency, people need to have some cash in hand, say a few thousand.
: Just in case there is a bank run and you can not get any cash out of
: anywhere
: in an emergency situation.
| J*****i
发帖数: 2622 | 11 want to clarify a couple of things:
1 Roth 401K is a very good fecture that allows you to put more after tax
money (compare to Roth IRA annual + catch up) into retirement acct. growing
tax free. SO it should not be on the bottom of your investment list.
2. Roth is a good hedge for all. A. no Min. distribution requirement. B. Can
be taken out WITHOUT penalty up to basis at ANY TIME for ANY Reason.
3. Pre-tax deferral is not always the best esp when your career is growing.
PLus hedge from Roth is |
|
