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Dumb question - pre tax or post tax retirement account
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Apologies in advance if this is a dumb question.

My household income is 350k cash 100k in stock. So far both of us have been maxing out our pre tax 401k that comes with some company match. We don't need to max it out in order to get the maximum match from the company.

Lately I've been talking to a few friends and all of them only seem to want to contribute just enough into the pre tax 401k to get company match and the rest they put into post tax (we are all at similar income levels) - what I don't get it why would they do that? They are paying excessive tax on it.

Am I crazy for maxing 401k instead of doing post tax contributions?

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1 year ago