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Post Info TOPIC: 401k for new grads/young people


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Posts: 862
Date: Apr 4, 2012
RE: 401k for new grads/young people
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Lol when you find out the answer, let me know. I'm contributing the match limit to my 401k and not much else. Mostly because I can't afford it, but it'll become a far bigger issue when I graduate next year.

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Guru

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Posts: 2549
Date: Apr 4, 2012
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http://talk.collegeconfidential.com/parent-cafe/1316713-roth-401-k-versus-regular-401-k-twenty-something.html

In Jan, DS's company changed hands, and has a new 401k plan. DS asked me how much should he contribute to this plan...

I asked him how much does he have in his current retirement plans and in his savings/investment accounts. I told DS to contribute to his Roth IRA first, then only contribute to the 401k only to the match limit. The 401k has the Roth 401k and before tax 401k-which I told him it really doesn't make that much difference at this time but all things considered, go for the Roth 401k. I told him to save/invest in the brokerage account before putting much into the company's 401k. I said that the current tax situation favors non 401k contribution--

Can you see why?evileye

I think the CC people are wrong.evileye



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