[quote=CAwireman][quote=flu]I don’t know, but at my company we have the ability to split our contributions between a traditional 401k and a roth 401k… I kinda do both, although right now, part of my contributions go to repaying a loan.[/quote]
Flu, don’t you earn too much to do Roth IRA’s???[/quote]
There’s a difference between self contributed Roth IRA and Roth 401k…
Roth IRA’s I can’t contribute to…. Roth 401k, there is no income restrictions on that, but only if an employer sponsors that. What’s nice is in the case of a roth 401k, any sort of employer matching also goes into the roth401k…Ideally, it would be nice to specify that all company matching up to the maximum limit would go into the roth401k, and no matching goes into the traditional 401k… Employers don’t do that though… It’s split based on the percentage into each type of 401k account.
Also, once funded in each account, (ok, maybe it’s just me), you can’t really move things around.
Also, when you rebalance, you can’t do it in a specific account type. It applies to both (again, maybe just the plan I’m in)
Also, I found out when you borrow, you can’t specify which account to borrow from. Ideally, it would have been nice to borrow all from the traditional, and let the roth 401k portion in there…
