by Kristin P. Sinclair – A Accu Tax – May 7, 2022
Many folks have employers who help match the employee 401K contributions up to the amount the employer has pre-established as the employer match. For the dollars you move into your 401K today you lower your taxable income today. If instead your choice is a Roth 401K you are taxed today but years from now, no tax liabilty is applicable so long as you have held your funds in the Roth qualified plan for the required period of time.
You are building your future security for the time you are no longer working.