Many 401(k) plans allow taxpayers to make Roth contributions as long as the plan has a designated Roth account. Your plan may also allow you to transfer amounts to the designated Roth account in the plan or borrow money.
It’s important to keep in mind that working smarter is better than working harder. Learn to keep the money you earn – not just by decreasing your expenses, but also by reducing the amount of money you spend on taxes.
In order to know which type of retirement savings is better, you have to know what the future tax rate will be. Since we can’t predict the future it is best to diversify your tax risk.
