For the past decade or so, I have maxed out my 401k contributions and then maxed out my Roth, and my husband has done the same. We had a gross household income of about $170k. We plan on having a much lower income in retirement than we do now, so the priority was always the 401k.
We will probably gross around $210k this year. This year I am a 1099, and have a solo 401k. Husband will still max 401k and Roth. My income should be around $100k. I believe this means I could put around $45k into my solo 401k, which I’d like to do. But if I do that amount, I don’t feel comfortable putting another $7k in a Roth. It’s just too much of our income - I’d probably have to draw down on savings to do it.
I could put less in the solo 401k and then contribute the $7k to a Roth. But is that ideal from a tax perspective in our situation?
We will probably gross around $210k this year. This year I am a 1099, and have a solo 401k. Husband will still max 401k and Roth. My income should be around $100k. I believe this means I could put around $45k into my solo 401k, which I’d like to do. But if I do that amount, I don’t feel comfortable putting another $7k in a Roth. It’s just too much of our income - I’d probably have to draw down on savings to do it.
I could put less in the solo 401k and then contribute the $7k to a Roth. But is that ideal from a tax perspective in our situation?
Statistics: Posted by I-Know-Nothing — Sat May 18, 2024 11:00 am — Replies 7 — Views 510