Xin Lu over at Wise Bread has a nice, easy-to-follow post about the pros, cons, and thinking points of considering a Roth vs. Traditional 401k. I've previously blogged about the Roth 401k conundrum, but considering Roth 401k's are such new offerings it's a good subject that bares repeating.
Points to ponder:
1. What tax rate do you expect to have in retirement?
2. Does your tax plan require you to lower your taxable income?
3. Do you plan to max out your 401k?
4. What will your Social Security check be like?
5. How long will you be at your present company?
To get the answers to these questions, see Xin's post!
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4 years ago
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