Tagged Questions

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 ...

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11 views

i have an old 401k from a previous emplyer that i hanvt done anything with [duplicate]

I have a 401k from several years ago from a previous employer. it has grown well even though I have done nothing with it since leaving the employer. what are my options as I am not currently enrolled ...
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1answer
42 views

What is a “Revenue Credit” on a 401k account statement?

My 401k statement has a new entry labeled "Revenue Credit". This amount is a small amount of significantly less than 1% and less than the expense ratio for any of the funds in the account. There is ...
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8answers
1k views

Why is a Roth 401(k) good if there is a long time before retirement?

This article from Fidelity mentions that the longer you have before retirement, the more likely it is that you should choose a Roth 401(k) over a traditional 401(k). This point is mentioned ...
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0answers
56 views

401K Plan Distribution due to HCE (Highly Compensated Employee) Status

My Employer (non-qualified) 401K plan was terminated due to company being acquired. I was then provided with a partial distribution with Category 8. I was informed that is due to being characterized ...
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1answer
230 views

Can I contribute money to a 401k, 457b, and an IRA all at the same time?

I am a retiree who is returning to full time work. Can I contribute the maximum to my full time job's 401(k) and to my part time job's 457(b)? And then also contribute the maximum to an IRA?
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4answers
381 views

Do my 401k/Roth accounts benefit from compounding?

I've always read that the great benefit of 401k's and IRA's are the compounding of interest. My entire 401k invests in a S&P index fund and I make semi-monthly contributions and there is one ...
11
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4answers
2k views

Any compelling reason to contribute to a 401k if my employer doesn't match?

My employer does not match 401k contributions at all. Currently, I do not make any contributions to a 401k or an IRA due to a need for liquidity. Aside from the obvious gains incurring no tax ...
2
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1answer
164 views

found a 1994 uncashed profit sharing retirement plan check

I found an old un-cashed check dated 1994 for $487 from my Xerox Retirement plan with no expiration date. Can I still cash it?
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3answers
200 views

Are employer 401k matching contributions invested prior to vesting?

Do the employer match contributions to a 401k before they are vested go into the investments that are selected for the employee contribution?
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4answers
128 views

Why should I choose a 401(k) or IRA over a standard brokerage account?

401(k)'s and other retirement accounts have limits on restrictions on when your money can be withdrawn. But let's say I score a job making a huge sum, can save a lot, and want to retire decades early. ...
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1answer
39 views

Making a loan to a tax-exempt organization from 401(k) retirement investment funds?

I'm age 64 & considering making a short term personal loan with interest to a tax-exempt organization. The loan would be payable in total with interest in two years or upon organization's sale of ...
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1answer
47 views

Deciding between Pre-Tax 401(k) and Roth 401(k) [duplicate]

Suppose I want to put 10% of my income in a 401(k). There are two options: (i) put it in a pre-tax 401(k) of a a Roth 401(k). If I expect the tax rates to be higher in the future, would this be a good ...
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1answer
207 views

Roll over Post-1986 401(k) to Roth IRA

I have a 401(k) that only has "post-86 after-tax" contributions and earnings. I left the company and was thinking about rolling over the whole balance to a personal Roth IRA. This would be a direct ...
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4answers
706 views

At what point is it most advantageous to cease depositing into a 401k?

I have a spreadsheet that shows me some various statistics about my 401k and I notice that assuming an average overall growth of 10%, my 401k contribution will be less than 1% of the yearly gain of ...
3
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2answers
169 views

Can I max out all retirement account types?

Hypothetically speaking, could I contribute the maximum to a 401k, a Roth 401k, an IRA, and a Roth IRA? That would be a total of 46k per year (17.5k + 17.5k + 5.5k + 5.5k).
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1answer
670 views

Employer time requirements to transfer from paycheck to 401(k)

Are there any rules or requirements as to a time frame of when money is removed from a paycheck and when the money is posted into a retirement account? My current 401(k) receives funds from my ...
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3answers
62 views

How can I transfer and consolidate my 401k's and other options?

I have read on Personal Finance & Money that you can keep any and all of the 401(k)s or other options that you've had through previous employers. But how are you able to transfer them all into ...
3
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3answers
92 views

What ways can I contribute closer to the the IRS employee/employer combined 401k contribution limit?

In 2014, the IRS maximum 401(k) contribution for an individual is $17,500 but the combined individual/employer maximum is around $52k. One way to have the combined total higher is to simply increase ...
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1answer
88 views

What retirement plans/options should i pick for a relatively unstable career path?

Precursor: I work in the software industry and as such, I'm pretty subjected to the massive instability: possibly no demand, and also i don't expect to be able to keep up with the technology when i'm ...
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1answer
146 views

Leaving US (I was working with a L1 visa, not coming back), better cash my 401K or leave it until 59 1/2? Thanks

I moved back to my country, I was working in US with a L1 Visa for a couple years, I have 6K in my 401k, what is your best advice, leave the money until I can cash out with out paying taxes or ...
4
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2answers
174 views

401k Hardship withdrawal (First home), without buying home?

Not saying this is a good idea, but honestly it was something I was just curious about. My and other 401(k) plans allows you to withdraw from your 401(k) before 59 years of age for "hardship" for the ...
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1answer
107 views

Why is spousal consent being required for rolling over a 401k?

My wife is having trouble rolling over her 401k (with ING, now Voya Financial) from her previous job into her Vanguard IRA. Apparently she needs my permission to roll the account over because it's a ...
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3answers
106 views

As an employer, how do I start a 401k or traditional IRA plan?

As a small business owner, what are the requirements for me to start a 401k or traditional IRA fund? How much do they cost to manage? I'm in the very early stages of my company right now but I would ...
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3answers
187 views

Limitations of the 401(k) to Roth IRA conversion escape hatch

I'm currently planning on retiring before the 59 1/2 year old milestone where 401k's and IRA's become accessible penalty free. One workaround I've heard of to access your retirement funds early is to ...
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1answer
1k views

Can I make a lump sum contribution to my employer's 401(k) plan?

I recently sold a rental property and have a surplus of cash sitting around. If possible, I'd like to make a lump sum contribution to my employer's 401(k) plan. Is that possible? Or would I need to ...
2
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1answer
133 views

How much more can I contribute to my 401(k) this year after I made some Roth IRA, Roth 401k, and 401k contributions?

I've just started a new job, and would like to max out my pre-tax 401(k) contributions before year end. I have contributed to various other investment accounts earlier this year and am struggling to ...
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2answers
118 views

When borrowing from a 401k, is the 401k the source of the funds, or the collateral?

I understand that borrowing from a 401K is not a good idea. But I still want to be familiar with some of the mechanics. If someone takes out a $5,000 401K loan, is the money taken from the 401K ...
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2answers
109 views

401k Rollover into IRA (First Time Home Buyer)?

WALL OF TEXT AHEAD. Ok so I don't even know if this is even "possible" but I figured I'd ask. My 401k plan I have is honestly pretty crap, zero matching, really poor rate of return (1-2% on average ...
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5answers
119 views

Investing in 401k and a Roth IRA

I am a senior in college and I have $3,000 dollars from my summer internship that I want to invest. I was thinking of investing it in a Roth IRA in an index mutual fund. However I am questioning my ...
3
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1answer
121 views

Self Employed 401k: contributions vs more available deductions

I'm in a unique situation this year where I worked self-employed 1099 for a few months and am full time W-2 for the rest. My full time job does not offer a 401k, but I can open a self-employed 401k ...
4
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1answer
134 views

What to do if I get refunded by my 401k for being considered HCE?

If my employer gives back some of the money I put away on my 401k because I am considered a HCE, can I turn around and put it back into an IRA to avoid paying taxes and penalties that year? I am over ...
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2answers
148 views

How can I calculate my income for purposes of an IRA deduction when I have HSA/401k deductions?

This chart here has the income restrictions for IRA deduction income limits. It does not use your AGI but a modified AGI. I have been unable to find any resources detailing how this income ...
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5answers
210 views

How to choose a good 401(k) investment option?

I am starting my first 401(k) which will have 9% of my salary invested each month. I have the option of doing a Roth 401(k) or a traditional 401(k) with a range of investment options. I think the ...
4
votes
1answer
251 views

Why is the total 401(k) contribution limit (employee + employer) so high?

The 2014 employee contribution limit is $17,500. The 2014 total contribution limit is $52,000. (Provided they're not capped earlier based on low income.) Meaning the IRS has left room for a ...
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3answers
2k views

What is the purpose of Social Security and Medicare deductions from my paycheck?

Sorry, this might be a basic question, but I'm having trouble understanding this, so would like to ask here. I've recently started a full-time position, and I notice that two things are being ...
5
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3answers
195 views

Variable universal life insurance vs traditional long-term investments

I have been considering different ways to generate some returns on my money, rather than just having it sit in a savings account at the bank. My understanding is that the obvious first step is to ...
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0answers
113 views

401k strategy for NRI planning to return to india

Scenario is for L/H visa holder who is earning salary in USD. The person also has employee sponsored 401k plan. The visa expires in 5 years and person would like to return at that time to India ...
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1answer
89 views

My company is changing 401k plan providers. How long should my funds be “blacked out”

My employer is switching 401k providers. The original provider shows that I am no longer invested, with a $0 balance. The new provider tells me that I am not yet invested, but they do have the funds. ...
5
votes
1answer
176 views

What does this 401K statement mean?

"Your employer will match up to 10% of your compensation that you elect as pre-tax contribution. When you contribute to your plan, your employer matches 50% of the first 10% of your pay." I don't get ...
4
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2answers
95 views

When should you use an actively managed mutual fund in a 401k?

Why should you use an actively managed fund for your 401k? I have read several questions and answers on this and other sites and it seems like it's generally better to go with funds that follow the ...
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1answer
87 views

What does it mean to be a “high fee” or “low fee” 401k?

I keep hearing the phrases 'high fee', 'low fee' 401k. What fee range constitutes high or low fees?
10
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1answer
743 views

Employer match after tax?

My employer matches 2% of my contributions to my 401k but insists those contributions cannot be pre-tax. Is that correct?
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2answers
643 views

Any downsides to having both 401k AND Roth 401k

So currently I have a 401k, I went ahead and added a Roth 401k while I'm eligible, beyond the fact I'll have to pay tax on the contributions now without the tax on withdrawal later in life you'd see ...
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2answers
61 views

Is there a “Rollover as business startup” for IRA?

I had a 401(k) with my employer, who I left recently. I'm considering rolling this over into an IRA since I will avoid a small maintenance fee this way, but I'm not sure if I will lose the ability to ...
4
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1answer
105 views

What happens to the gains or losses made on the non-vested portion of a 401k after you leave your job?

If you leave a company that matched 401k contributions before the vesting schedule is complete, the non-vested money is returned to the employer. I'm curious what happens to the gains/losses on the ...
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1answer
83 views

Why do you think there is a difference in these 2 funds' expense ratios?

For my 401k my employer offers 49 different investment options. The default option is the FID FREEDOM K 2055 (FDENX) which I have been in for the past year. I recently dug around checking out all the ...
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3answers
124 views

Using matching on 401k and then cashing out

I realize that if I "cashed out" on a 401K early, I end up having to pay taxes on the cashed out 401K savings. But, I would have had to pay taxes on that 401K amount if I had not put into savings ...
0
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1answer
103 views

What is the future of 401k in terms of stability and reliability?

Let me quote: 7) Your Retirement Plan is For S**t. I don’t care how much you set aside for your 401k. It’s over. The whole myth of savings is gone. Inflation will carve out the bulk of your ...
4
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2answers
119 views

Missed open enrollment 401k date, do not want to wait until next year

I missed the open enrollment date for this year to enroll in to 401k, I do not want to wait until next year. What are my options at this point? Should I open an IRA account? If yes, Which one ...
7
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1answer
127 views

How can I find a lost 401K from a past employer?

I've been rather sloppy about keeping track of 401(k)s from previous employers. There are two that I've lost track of completely. One is from an employer that no longer seems to exist, and the other ...