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Subject:  Re: Switching from Roth 401k to 401k Date:  10/20/2016  10:37 AM
Author:  mispoken Number:  124758 of 130898

Thanks AJ,

That makes sense. I guess I didn't give the full info on the backdoor conversions I do. I don't convert any of my pre-tax 401k money, I just put $5500 in a Traditional, let the cash settle and the convert it to the Roth. This is completely separate from my 401k. What I learned last night in talking with Fidelity, I have the option after I reach my $18k limit to continue to make after-tax contributions up to the $53k allowed (minus employer contributions) and then roll my AFTER TAX contributions into a Roth. Apparently, the plan allows me to completely roll it out of Fidelity to my personal broker where I pay $0 commissions. It's a nice option I have!

The question will remain and really has no answer it seems. Whether or not contribute pre or post tax to my 401k. I think what makes sense for me in a couple of years once I start dipping into that 33% bracket is to start making those pre-tax contributions to help keep me out of that. That seems like my only respite from lowering my AGI in the immediate term.

On the post-tax front
I'll also make 529 contributions, I'll continue to do the backdoor Roth for my wife and I and I'll roll my post-tax 401k contributions to a Roth as well.

This seems like a good mix as it will allow me immediate tax benefits right now and then I'll also have a tax free bucket of money to withdraw from during retirement as well. Some people have said having both types of accounts to draw from is a good idea, not sure why exactly, but it looks like I can set myself up in that way going forward.
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