A curious thing is happening when big tech companies, like Lyft and Uber, go IPO nowadays. I mean, aside from the fact that their stock immediately starts losing value…although that figures into my point, which is:
Welp, you’ve done your taxes. At least, I sure hope you have.
In this here blog post, I wish not to look backwards and cast aspersions at the IRS or the Trump Administration or your company’s HR department (although lord knows, at times they’ve all deserved it…some more than others). Instead I want to show how you might use your 2018 tax return to make your ongoing finances better.
In the last month, two of my clients have looked at their paystubs and realized that their 401(k) contributions were going into Roth instead of pre-tax. This wouldn’t be a problem except for the fact that both of these clients had, months earlier, changed their 401(k) contributions away from Roth and into pre-tax. And somehow it didn’t “take.” This caused an administrative pain in the butt and higher-than-planned taxes.
Hopefully you’ve figured out the basics of your 401(k). Maybe you’ve even figured out whether or not you should contribute to your Roth 401(k). But are you ready for The Next Level in 401(k)?
Should you contribute after-tax money to your 401(k)?Read More