fbpx

Is A Roth 401(k) Right For Me?

Since 1997, Roth IRA accounts have been around as an investment vehicle. In the past several years, participants at many work places have been offered the opportunity to do a Roth 401(k). Readers have e-mailed me over the past year about whether or not the Roth 401(k) is a good idea. The Roth 401(k) follows many of the same rules as your current Traditional 401(k). There are two very large distinctions between doing a Traditional 401(k) and a Roth 401(k): 1) How contributions are taxed – In a traditional 401(k) plan, all of your contributions will be put in your plan on a pre-tax basis.  Thus, your reportable w-2 income at year end will be lowered by the amount of Traditional 401(k) contributions that you make over the course of the year. In a Roth 401(k), your contributions will be taxed now and put in your plan on an after tax basis.  Thus, you will have no change in your ...

Read More →

Roller Coaster Week

I do think the one thing that should come out of this is knowing what you make and what you spend because saving is still one of truly key elements to building wealth. To do this as the CEO of your family finances, now is the time to get with a private CFO™ to understand your balance sheet, income statement, and your bottom line. I'm pretty sure they won't do that for you on CNBC! Visit OxygenFinancial Today ...

Read More →