Roth 401k
You may have more options within your 401k plan than you realize. A large number of retirement plans are adding a Roth 401k feature, allowing for additional flexibility with how participants save for their future.
Similar to Roth IRAs, Roth 401k’s are funded with after-tax dollars and offer tax-free growth and withdrawals in retirement. You may have access to this benefit through your current retirement plan and not even know it. In fact, a study published by the Harvard Business School noted that, in plans offering the Roth 401k, less than 9% of total dollars in the plan were saved using the Roth feature*. Truly, this can be an excellent way for retirement plan participants to save. Check out the comparison below...
All in all, it’s important to know whether or not the Roth 401k option is available in your retirement plan. And if it is, should you use it? Should you save into both the Roth and the Traditional 401k? We understand that these questions (like many investment-related questions) aren't always simple. That’s why we’re here to help you understand your options. Questions? Worries? Doubts? Let’s talk about it.
Reach us at 503.905.3100 or 401k@humaninvesting.com
