A 401(k) account is a tax-deferred retirement savings account setup by many employers for their employees in the United States. Employees can elect to contribute part of their earnings - either pre-tax or after-tax - to their 401k account and the employer will often make a matching contribution for ...

learn more… | top users | synonyms

4
votes
2answers
189 views

How late is Roth (rather than pretax) still likely to help?

Given the choice, should one switch from Roth to traditional IRA/401k contributions as one approaches retirement, and if so is there any good way to decide when? If it affects the decision, I am ...
0
votes
0answers
58 views

After-tax 401(k) conversion

I have some questions regarding converting my after-tax 401(k) to either my in-plan Roth 401(k) or an external Roth IRA: When I convert, can I transfer stocks/funds I own in my after-tax 401(k) ...
3
votes
1answer
39 views

Can we make traditional IRA deductions to reduce last year taxes if we have 401ks and I already contributed to a Roth?

I need help understanding IRA deduction rules for Tax year 2015. My wife and I both have 401K accounts from our work. Our filing status is married filing jointly. Our MAGI for 2015 is about 105K. I ...
0
votes
0answers
47 views

What are some good mutual funds to consider for a new grad looking to maximize market return? [on hold]

I'm 21 and will be finishing my degree in Computer Science in May. I will be moving to New York City to work at s software engineer at a major financial tech company starting in June. I'd starting to ...
6
votes
2answers
929 views

Father retired a little early doesn't need 401k but should he move it to Roth IRA?

My father recently retired at 63. He has some money in his 401k (the provider is ADP) and they keep emailing him with an advertisement telling him the ramifications of withdrawing any money out early ...
7
votes
1answer
97 views

How Does The IRS Structure Payment Plans If I Owe Subjectively High Taxes?

During the 2015 tax year I became legally separated. During the separation my ex-wife did not agree to a QDRO when cashing out her equity from jointly owned property. The cash out was mandated by ...
0
votes
1answer
24 views

I own an LLC, how should I go about contributing to a 401(k)?

I am one of two LLC members - we have been operating for about 2 years. We have no employees. I would like to start a 401(k) and contribute as much as I can to it. We don't have salaries ...
3
votes
1answer
83 views

How do you read the W2 Forms?

I did search through the question and couldn't find one like. This is my first year working so this is my first W2 form I have received. I am confused on how to read this. There are two halves to the ...
5
votes
4answers
306 views

What are the consequences of overfunding a 401k plan?

The current 401k contribution limit is $18,000. If I'm trying to contribute the maximum amount for the year and accidently go over, what happens? For example, if I end up contributing $20,000 for ...
5
votes
1answer
411 views

Remedies for Defaulting on a 401(k) loan

I changed employers and am unable to pay back my 401(k) loan within the 60-day period allowed. I realize this will default the loan and I will receive a 1099-R, have to pay taxes and penalties. The ...
0
votes
0answers
42 views

401k payment default due to banks negligence of processing payment

I am self employed for 6 months out of the year and work for another company 6 months. I had a loan from my 401k and have Wells Fargo manage the payments. When I am self employed, I submit the ...
1
vote
1answer
51 views

What box on my W-2 correlates to my “earned income” for purposes of EITC?

As an example: I have $20,000 in Box 1 on my wife and my only W2 I have $35,000 in Box 3 (reflecting significant pre-tax 401(k) deductions) Filing MFJ with no kids For 2016, to claim EITC both ...
4
votes
1answer
42 views

Designating Beneficiaries

I have several accounts 401k, Roth IRA, etc. at a variety of different financial institutions (Fidelity, Vanguard, local Credit Union, etc). I want to set up my beneficiaries like the following: I ...
-2
votes
2answers
51 views

How religiously should Dollar Cost Averaging be followed?

IF I simply interpret Dollar Cost Averaging as a method of putting an amount x in my investment every month through thick and thins of the market, then I am contradicting what the article in ...
1
vote
1answer
53 views

Pay off student loan or contribute to my 401k?

I am 30 years old and make about $2400/mo take-home. I was paying two student loans, one was $250/mo and the other is $410/mo. I paid off the $250/mo loan, and I have to decide if I should put the ...
3
votes
2answers
88 views

401(k) not fully vested at time of acquisition

I've been working for AT&T for two years and nine months with a cliff vesting of 3 years my vesting date is April 15, 2016. It was recently announced on December 18, 2015 that IBM would be ...
1
vote
0answers
69 views

Mega-backdoor roth tax filing

For the backdoor (IRA -> Roth IRA, generally up to $5500 per year) conversion, we need to file Form 8606. Are there any equivalent forms that must be filed for mega-backdoor (After-tax 401k -> Roth ...
5
votes
1answer
89 views

Should I pay off my 401k loan or reinvest the funds elsewhere?

I have a loan out on my employer 401k plan for $50k, which I took out for the purchase of a home (so there was no penalties, or taxes withheld). The interest rate is 4%, which I'm paying into the ...
0
votes
1answer
71 views

I am an US immigrant before but left the country I would like to withdraw may 401k

How will I withdraw my 401k? I don't have any information left, washed out by the storm august 19, 2013
3
votes
1answer
160 views

On company 401k matching. Clarification needed

I realized I don't fully understand something. It almost embarrassing to admit. In 2016 we have 18k max contribution limit for 401k. Does this mean that employee can contribute at most 18k or that ...
4
votes
1answer
57 views

Should I do a Rollover 401k instead of a Rollover IRA because of the loan option?

Until now, I was pretty much convinced that rather than rolling over the 401k from my old company to the new company, it is a much better option to roll everything over to a Rollover IRA, and my ...
0
votes
3answers
134 views

disadvantages of saving for home down payment through 401k or 457k

I've been toying around with the idea of setting aside money via my 401k specifically for use as a down payment on a house. To be clear, I do currently put 9% into my Roth 401k option and my employer ...
0
votes
2answers
59 views

How long can I convert 401(k) to Roth 401(k)?

I understand that (simplified) 401(k) is pre-tax money, and Roth 401(k) is post-tax money. That means moving money from the former to the latter, I have to pay taxes on it, and those taxes might need ...
4
votes
1answer
61 views

What range of fee should I expect to pay a provider, to convert 401k or 403b to IRA?

We now live overseas and are looking at converting 401k, 403b to IRA. US citizen, resident overseas for a long period. What range of fees would reputable providers charge for this service?
0
votes
1answer
29 views

Any differences between rolling 401(k) versus 403(b) to IRA while working abroad?

Are there any practical differences between rolling a 401(k) versus a 403(b) to IRA while working abroad? Ideally would like to get the same provider to deliver both these services.
3
votes
2answers
54 views

Joint or separate IRA from 401(k) and 403(b), for couple moved abroad

My spouse and I moved overseas. We are considering converting our 401(k) and 403(b) to self-directed IRAs. What would be the pros and cons of combining both, in 1 IRA, versus 2 individual IRAs?
8
votes
1answer
1k views

Is it worth investing in 401(k) if a company doesn't do matching?

The company offers 401(k) but doesn't match your contribution at all. In this case, it worth investing in 401(k)? For what reasons might a 401(k) be preferred over an IRA if there is no match?
1
vote
1answer
46 views

New year, and a new Job Opportunity - with financial consequences [closed]

I have a very interesting financial situation with my current employer, and a potential opportunity with another employer, but I'm having trouble quantifying how it will financially affect my family ...
4
votes
1answer
81 views

5 year rule on Roth 401k to Roth IRA rollover containing converted amounts

Suppose In tax year t, I contribute 10000 to a Roth 401k and 10000 to an after tax 401k. By tax year t+1, both amounts have grown by 10000 to 20000. In tax year t+1, I convert the full 20000 from ...
4
votes
1answer
32 views

Who can I get to help me roll my 401(k) into an IRA when I live overseas?

When I lived in the US, I contributed for a number of years with my employer to the company 401(k). When I then moved abroad, I found it difficult to stay in touch with my 401(k). The toll-free ...
3
votes
0answers
55 views

Using a Roth conversion ladder in a 401(k) while also retaining backdoor Roth IRA conversions

Consider the following scenario: John Q. Public has a high enough MAGI that he is not eligible to make Roth IRA contributions (and hence also cannot deduct traditional IRA contributions). John also ...
0
votes
3answers
161 views

Is a 401k contribution fair game for cost cutting? [closed]

2016 is almost here, and with it, unavoidable increases in health care costs and other expenses. A budget that was balanced in 2015 might now be out of balance and costs have to be cut somewhere. Is ...
1
vote
3answers
152 views

Cash out 401k for house downpayment

Does it ever make sense to cash out my 401k in order to make a larger house down-payment? Say I have a marginal tax rate of 35%. If the difference between the interest in the 401k and the mortgate ...
4
votes
4answers
82 views

Company changing 401k providers in December, will I lose my dividends?

Typically I've seen that I have gotten Dividend re-investments in December for my current 401k elections for the past several years. My company is switching providers, do I loose what would have ...
3
votes
1answer
64 views

Borrow from American 401k from Canada

If I have a 401k with (for the sake of argument) $100,000 in the US, and I want to borrow the maximum ($50,000) for a mortgage on a house in Canada, is this possible? If so, what are some of the ...
18
votes
5answers
4k views

Would it be advantageous for me to pay off these two credit cards and cancel them with a 401k loan?

I'm considering taking a loan on my 401k in order to pay off and close 2 credit cards. I have approximately 30 years until I consider retiring. The amount of the loan will be $1700 which is less ...
0
votes
1answer
48 views

What is the best way to combine old and new Investment 401k?

I just changed my job few months ago and my old employer sent me my 401k Details with details of the person or the company who manages 401k for their employees. Now, I want to merge this account with ...
4
votes
2answers
68 views

Are we eligible for a traditional IRA contribution this year?

My wife and I will be making around $143,000 this year. My wife is disabled, and $48,000 of it is from past and current Social Security disability paid in the same year. (Approx. $38,000 was paid from ...
3
votes
3answers
143 views

Should I change 401k investment options to prepare for rising interest rates?

As the "Fed" (in the USA) is getting ready to raise the federal funds rate, is it a good idea (or is it even possible) to try to adjust my 401k portfolio for better returns? I'm speaking in general ...
37
votes
2answers
4k views

When is employer 401(k) match not worth it?

I have always read to take full advantage of your employer 401(k) match. But what if the match is lower than most? My employer will match 10% of my contributions, up to the legal contribution limit. ...
3
votes
1answer
90 views

Investing in ETF/Index-Fund Twice [401(k) and Individual investor Account]

I'm young, new to investing, and have the following nagging question. Let's assume I have $1000 of disposable income that I'm willing to throw into the market. I've read with small amounts such as ...
4
votes
2answers
128 views

Should I contribute to a 401k if I plan on moving abroad?

I am currently in my mid-twenties and have a long way to go before retirement. However I would like to move to Europe (EU-member countries only) in the not too distant future. I plan on staying there ...
2
votes
5answers
303 views

Are there any recognized retirement plans / IRA accounts that also allow me to trade in stocks/options

The company that I work for was recently acquired by a much larger company. One consequence of this is that my company decided to discontinue their 401k plan and move us all to the larger company's ...
1
vote
0answers
71 views

My company's 401K plan: Where to put my money? [closed]

I am not sure what to do here, my new job has a different 401K plan with a match of 4% of my salary ( better than nothing ). We have the option of 401K Before-tax and Roth 401K... only 2 options. ...
4
votes
1answer
60 views

As a Sole Proprietor, will “employer” Solo 401k contributions count towards gross income?

With a Solo 401k, I can contribute up to 25% of my income as "employer contributions." Do these contributions count toward my adjusted gross income? Example I make $100,000 in 2015. I am 55 years ...
1
vote
2answers
139 views

hardship withdrawal

I am single and have one income. I live in Denver and the rents have gotten crazy here. My rent is now the same as one out of my two bring-home paychecks in a month. I have great credit. I have 25K in ...
1
vote
1answer
124 views

401k withdrawal process timeline

I have a 401(k) plan from my previous employer with a little over $5k in it and I have decided to withdraw the full amount. How long should I expect this process take? The plan administrator is the ...
4
votes
1answer
132 views

How to locate a lost 401k that I can not find?

I never collected from an old 401k that I invested in through an old employer about 10 years ago. I recently contacted the old employer to inquire about it and they told me to get a hold of Principal ...
2
votes
1answer
104 views

Obligation to file US tax returns if I have 401k and Health Savings Account

I recently left a job in the USA year. This year I will have to file a tax return due to the income I earned in the USA. However, if I leave my 401k and HSA untouched in the USA, will I be obliged to ...
2
votes
3answers
168 views

First 401K portfolio with high expense ratios - which funds to pick? (24yo)

Just got my first 401K at work through Mass Mutual. I have 17 options to choose from. I don’t think we have index funds, and most funds have high expenses between 0.75-1.66%. So I decided to care ...