Comments on: New Retirement Option – Roth 401k Explained

By: Roth 401k

Roth 401k — Mon, 09 Jan 2006 09:24:10 +0000

Here is some more information:

By: jim

jim — Wed, 27 Jul 2005 23:29:06 +0000

Another Bean Counter,
Glad to have you back

It appears that you’re right, when I read that it was separately tracked I thought it meant that included the totals – but according to the CNN Money article, and closer examination of the regulations, it appears that your total Roth and Regular 401(k) contributions are capped at $15k. That is, of course, if your employer adds the Roth option. I’ll be amending the article to reflect that, Thanks!

By: Another Bean Counter

Another Bean Counter — Wed, 27 Jul 2005 22:58:16 +0000

Hey Jim. I’ve read your blog a couple of times.

About the Roth 401(k) you said that you can still contribute the maximum limits for both a Roth 401(k) and a regular 401(k), right? From what I’ve read and understood an individual will not be able to contribute the max to other retirement accounts and still contribute the max to a roth 401(k), (once it becomes available). There are certain limitations, aren’t there? What do you think?

By: jim

jim — Mon, 25 Jul 2005 14:44:48 +0000

thc,
why don’t you think employers would implement it?

By: JimL

JimL — Mon, 25 Jul 2005 13:58:39 +0000

Bad news for government employees: Participants in the 401(k) “equivalent” known as 457(b) are out of luck, apparently. Some time ago I made an inquiry on this and got a reply from a Washington lawyer “close to the situation.” He told me that 457(b) plans either weren’t part of the conversation when the law was drafted, or it was determined that the cost would be too great.

And THC, I hope you’re wrong, too.

By: thc

thc — Mon, 25 Jul 2005 00:55:29 +0000

I’m afraid there won’t be loads of employers who take the time and effort to add the Roth component to their 401(k)s. I hope that I’m wrong.

By: jim

jim — Sun, 24 Jul 2005 02:01:17 +0000

A 401(k) is a retirement plan named after the IRS code section that permits it. Essentially it allows you to contribute money, pre-tax, to a retirement account and typically your employer will provide a small percentage match. For me, when I contribute 6% of my salary, I receive a 3% contribution from my company.

By: Monty Loree

Monty Loree — Sat, 23 Jul 2005 21:45:00 +0000

I’m Canadian…. what’s a 401k?

By: ncnblog

ncnblog — Sat, 23 Jul 2005 20:17:35 +0000

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By: jim

jim — Wed, 18 May 2005 20:08:43 +0000

Thanks for the reminder nickel, I added a little update… but essentially there will be a Roth 403(b) version too. This all, of course, hinges on whether or not your employer will even offer the plans.

By: nickel

nickel — Wed, 18 May 2005 18:52:16 +0000

Any idea if there will be a 403(b) version?