After tax 401k - multiple companies
I am going to be leaving Meta soon and my new company offers less matching than Meta. I am planning on maximizing my 401k while I am at Meta. I am also maximizing After tax 401k (mega back door) but I read that is per company. Does this mean I can contribute another 20k at the new company for after tax 401k? #investments #401k
It's per person, don't think it depends on company.
The combined limit is per 401k plan (i.e. per company), your pre-tax/roth contribution limit is for you, nonelective after-tax contributions don't count towards that personal limit.
Yes you should be able to contribute up to 61000 - 20500 (total pretax limit) - employer match for each 401k account
Thanks everyone. Looks like mega back door can be done per employer. https://www.bogleheads.org/forum/viewtopic.php?t=352567
Even if your company offers less matching than Meta, you should only contribute enough to your 401k to get the full Meta match and then contribute the rest in your new company to get the new company match.
I think meta matches up to 50% right? Regardless of what you put in. Shoot that’s a good call out but I’m leaving May17. So it’s too late for that now. Next time!
Meta matches on the first 10,250 at 100% now, so optimally you would've just put in that much and then the rest in the new company.
No it's per person per year regardless of which company.
That’s for 401k but what about after tax (not Roth)
It's still a 401k contribution and has a yearly limit from all sources.