My employer is providing a match where it’s a 100% match of the first 3% I contribute, then 50% match on the next 3%. So it’s basically 4.5% on 6%. Never contributed to 401k before, but now I’m contributing 5% pre tax (traditional) 401k and 7% roth 401k. Savings: 30k VFIAX: 25k Salary: 175k Age 32 What would be the best split to contribute to 401k. I’d appreciate any tips or suggestions. Thanks. #personalfinance
At your TC and tax bracket just do 100% Roth. Roth can be withdrawn penalty free, there’s no downside to it.
It is all about tax rate now vs tax rate when you withdraw it. Google it
US tax rate will go higher and higher ,
Maximize it and pretend your salary is 150k, and save plenty post tax as well. Are pretty behind if want to retire