roth 401k

Can u contribute to a Roth IRA while contributing to a Roth 401k? How much to each?



Yes, these contributions do not directly affect each other. Max contributions are 17,500 employee deferrals to a Roth 401k and 5,500 for the Roth IRA. Additional catch up contributions can be made for those who have reached 50 of 5,500 and 1,000 respectively.



would the same income limits apply to the Roth IRA?



A Roth 401k does not have income limits, but the usual modified AGI income limits apply for Roth IRA contributions. Contributing to a Roth 401k instead of a pre tax 401k will result in higher MAGI and could indirectly contribute to making MAGI too high for Roth IRA contributions.



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