[quote=no_such_reality]How is someone putting money in a roth with a base salary of $169K and other $33K in bonus?
As for the hypo paycheck, sorry, but $2000 going into the 401K, Roth 401K and ESPP every two weeks which is a $52K a year savings rate. $26K a year of which is going into stock purchase.
Yea, definitely do it, but don’t claim the take home is minuscule because those stock purchases can be rolled immediately.[/quote]
Roth 401k is not the same thing as a Roth IRA. The former is an employee sponsored plan. You can contribute up to $18000/year this year or any portion of it and split it with a traditional 401k. The caveat is the deductions are completely after tax, which is a bit of a sting. Also, there is no guarantee that earnings from it in the future won’t really be taxed. Which is why I split my contributions between a traditional 401k and Roth 401k. The traditional 401k contribution is to defer my taxable income and lower my bracket in the present day. Employer match is always to a traditional IRA, which currently my employer has at 4% I think.
