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My 401(k) plan accepts after-tax contributions and I just validated with my plan provider that I can do a rollover of after tax contributions to a Roth IRA at any time, even while I'm still with my current employer.

They made two caveats:

1. The associated earnings to those after-tax contributions are pre-tax and will need to be rolled over to a regular IRA at the same the after-tax money is rolled over into a Roth IRA.
(I don't consider that a problem.)

2. The total of all contributions, including employer match may not exceed $53000. (They called it the "415 rule".)

So it seems that - keeping the above in mind, it would make sense to amp up my 401(k) contributions to funnel after-tax money into my Roth IRA.

Are there any other caveats or drawbacks to this approach?

Bernhard
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