I Maxed Out My 401(k): Now What? - 7/16/24 | Market Sense

I Maxed Out My 401(k): Now What? - 7/16/24 | Market Sense | Fidelity Investments

Рет қаралды 13,970

Fidelity Investments

Күн бұрын

Пікірлер: 15

@CC-hk6vy 7 күн бұрын

Great show!

@AT-hs9nf 4 ай бұрын

Fantastic info for someone who wants to actually learn. I max my traditional 401k, HSA and add x % to After-Tax Roth in 401k and add 10% of my income to a brokerage account. Whatever is left, I simply enjoy. Got 20 yrs. to work still. So FIND THE BALANCE is what I tell everyone😎.

@fidelityinvestments 4 ай бұрын

Thank you for the positive feedback! Let us know if we can help with any questions, and we will be glad to follow up with you.

@sdguy67 4 ай бұрын

You either make a boat load or live in a very cheap area. Congrats. That's awesome.

@AT-hs9nf 4 ай бұрын

@@sdguy67Neither. The biggest diff is I don't have kids and neither want them 😊.

@joelcorley3478 4 ай бұрын

Mega backdoor Roth 401(k) contributions - it's not conversions. It may use a Roth conversion as the second step, but it's a way to make a large contribution you couldn't otherwise make - thus the "Mega backdoor".

@charleshughes2487 Ай бұрын

Yes !

@nazeercurry5248 4 ай бұрын

Very insightful 🎉🎉🎉

@customersupport-v9h 4 ай бұрын

I would argue brokerage accounts are taxed advantaged - if you generate long term capital gains. Less tax than ordinary income which is what is generated from traditional 401k or IRA. Although forced distributions could be tax inefficient sometimes

@apichadarunyothin2446 3 ай бұрын

My current strategy for the past 6 years has been maxing out traditional 401k and HSA to reduce my MAGI and then max out Roth IRA every year. If i do Roth 401k , i will not be able to max out contribution to Roth IRA , perhaps no contribution at all due to income limit. This year , I am making 170k. So in my case , total contribution for Roth 401k is just $23,000 but if i do traditional 401k , my total contribution will be $30,000 ($23,000 for 401k + $7,000 for Roth IRA) Do you think the traditional 401k + Roth IRA look better for investment in my case?

@fidelityinvestments 3 ай бұрын

Hi there Apicha, thanks for dropping in! Hope your Sunday is going well! Let's go ahead and jump in. At the end of the day, you are a unique investor who must make decisions based on your investment objectives, risk tolerance, time horizon, and with your personal factors in mind. Both 401(k) plans and Roth IRAs have their pros and cons. First, Roth IRA contributions are considered post-tax. You can withdraw those contributions at any time for any reason, tax, and penalty-free. Additionally, any earnings on investments can also be withdrawn tax-free and penalty-free, provided certain requirements are met. Whether the contributions to a 401(k) can be post-tax and the withdrawal choices available to you are all dependent on the specific plan. Roth IRA Overview-www.fidelity.com/retirement-ira/roth-ira Second, you may have more choices choosing your investments within an IRA compared to a 401(k). Investment choices for workplace plans are dependent on the plan's details. If the account is held at Fidelity, you can review what's available to you on NetBenefits by following the steps below: 1. From the "Quick Links" three dot menu, select “Investment Performance & Research” 2. Scroll down to the "Investment Choices" section Finally, there are different limits to how much you can contribute to each type of account. I will note that these accounts have separate contribution limits. Since you're looking for suggestions from the community, please check out our Daily Discussion Thread. The Daily Thread is a Megathread on Reddit. You can find them in our pinned posts, and I've included today's below. Here, you can access our online tools to help with your research and receive suggestions from community members. The link below will take you directly there. Daily Discussion Thread (Rate My Portfolio, What Should I Buy/Change?, Investment Strategies, etc.) www.reddit.com/r/fidelityinvestments/comments/1e9cj2y/daily_discussion_thread_rate_my_portfolio_what/ As always, we're a great outlet to direct questions regarding topics you may be a little unsure of. Don't be a stranger!