I seem to always inspire weird looks in my HR departments :). Apparently they see 62% contribution to 401K and think I forgot a decimal point. At my new company I’ve been asked I believe 3 times in a 2 month period if my election was correct. Yes it is :). When I started at my new company on November 15, 2016 I calculated what election percentage I needed to max my 401K by December 31 despite being funemployed for 4 months. And that was 62% so I made it happen and I maxed it (within a few hundred that the no decimal point awarded me).
For 2017 I decided not to change my election. Why not max my 401K basically as fast as possible in case the unexpected happens (which it almost did…) and then fill up my Roth IRA (I don’t qualify for a Trad IRA anymore – such a hard life I lead) and taxable accounts. I should be done maxing my 401K by April. My last year working I might put 100% of my paycheck to my 401K, which my company actually allows! Let the games begin!
Hi:) I just found you yesterday and have been binge reading through your archives. I just wanted to take a second to say thank you. Thank you for writing all of these. I relate so much to your journey. I am 27 and maxed all my retirement vehicles last year for the first time (at the 26, the same age you first did too!). I feel like I am following your path. Also, it is so nice to hear from another female voice in this space.
Hi Abigail ๐ . And wow! You’re far back in the archives. I’m happy (and surprised to be honest haha) to hear the posts are binge-worthy. And you’re welcome!! That’s so awesome you’re maxing your retirement accounts. Sounds like you’re setting yourself up really well. Thank you for your kind words – they made my day ๐ .
I don’t understand how you could qualify for a Roth IRA but not a traditional IRA – I thought Roth IRA phased out over a particular income but Traditional IRA was just a thing. PLEASE HELP ME SEE THE LIGHT
Hey there – it’s the opposite ๐