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Greetings, Dave, and welcome to Fooldom.

<<Now as I understand it, pretax contributions to a 401(k) are limited to $9,500 per year, but one may contribute after tax dollars as well. Is there a limit to what one may contribute overall?

If I plan to save 20% of my take-home pay off the top, should I put the money into the 401(k) or a non-deductible IRA, or should I invest it in taxable but easily available stuff?>>

The overall contributions to a 401k, whether from you or the employer, whether pre-tax or after-tax, are limited to no more than 25% of your annual compensation or $30K, whichever is less. The dollar cap for pre-tax contributions you make is indeed $9,500 for this year.

Whether you should contribute on an after-tax basis to the max allowed by your 401K, to an after-tax IRA, or to anything else depends on the options available. That means you should consider the rates of return you could get in each, to include assessing the tax impacts on the return of a taxable investment. There is no cut and dried answer to such a question. You just need to do your homework to see which option will give you the biggest bang for your buck. Somewhere in this folder in the last 90 days I described a methodology for comparing pre-tax versus after-tax investments. You may want to search that missive out for some further consideration to help you in your decision.

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