Roth 401(k) vs. Traditional 401(k)

Inputs

Annual Contribution

$0 $100,000

Years to Retirement

1 50

Annual Rate of Return (%)

%

Current Tax Rate (%)

▼

Expected Retirement Tax Rate (%)

▼

Future Value of Roth 401(k)

$ 883,609

Future Value of Traditional 401(k)

$ 1,132,832

After-Tax Value of Traditional 401(k)

$ 795,248

Does it make sense to borrow from my 401(k) to pay off debt or to make a major purchase?

It can be difficult for clients to imagine how much they’ll spend in retirement. This short, insightful article is useful.

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