If you roll a traditional into a Roth, you basically have to take a distribution, which includes paying taxes (and presumably early withdrawal penalties) on the traditional money.

 

Not a lot of places offer Roth 401Ks, but IMO they're a better option than a traditional 401K.

 

Personally I think the Roth IRA is the best option just because IRAs give you a much larger investment portfolio to select from. You have thousands of choices. 401Ks limit you to just the funds that your specific plan offers.

 

Roth 401k or 403b are becoming very common.

Roth 401k or 403b are becoming very common.

 

Roth has limits, correct, on both what you can put in, as well as what you can make and be qualified? Do I have that correct?

Roth has limits, correct, on both what you can put in, as well as what you can make and be qualified? Do I have that correct?

 

A Roth 401K has the same limits as a 401K, I believe. Which is around $17,000. A Roth IRA is $5,500 for most ages.

 

The earnings limit is around $200K for a married couple filing joint on a Roth IRA.

Roth has limits, correct, on both what you can put in, as well as what you can make and be qualified? Do I have that correct?

 

Not a Roth 401k. I am pretty sure a Roth 401k has the same contribution rules as a traditional 401k except the money goes in after tax instead of pre-tax.

A Roth 401K has the same limits as a 401K, I believe. Which is around $17,000. A Roth IRA is $5,500 for most ages.

 

The earnings limit is around $200K for a married couple filing joint on a Roth IRA.

 

It is 18k and a 6k catch up after 50.

Company match can not be put in a roth 401k, it has to go into a traditional 401K counterpart. Only your earned income money can go into anything roth.

Not a Roth 401k. I am pretty sure a Roth 401k has the same contribution rules as a traditional 401k except the money goes in after tax instead of pre-tax.

 

I think Mench and hammer are correct..