401k question

[maddogchen]

Theres like a 15k limit you can put a year in your company's 401k plan. Does that include what the company matches? so total, me and the company or just what I put in?

Trying to figure out what percentage of my wages should go in there.

 

[Jadow]

for 2007, the limit is 15.5k. That is on YOUR contributions. Company match is outside that.

 

[maddogchen]

thanks!

 

[Midlander]

If you are over 50, you can put in another $5k, although I doubt you qualify.... :beer:

 

[DaveSimmons]

If your income is low enough you can also contribute to a Roth IRA in addition to the 401k.

A Roth IRA doesn't reduce your tax bill like a 401k does, but with a Roth you pay zero taxes on it when you take the money out at retirement.

 

[Dr. Detroit]

Investment and personal finance gurus suggest you put the maximum amount into your 401K to get the maximum match from your Company. Once you have hit that you should put the rest into a Roth IRA.

If you are a HCE with an AGI of $110K or more and single, then you are excluded from putting any money into a Roth IRA.

 

[her209]

REPOST 😀