Roth 401 (k)

The Roth 401(k) is a type of retirement savings plan that combines the features of the Roth IRA and a traditional 401(k) plan. Like a Roth IRA, contributions to a Roth 401(k) are made with income that’s already been taxed, allowing investments to grow and be withdrawn in retirement without being taxed. While traditional 401(k)s reduce your taxable income because contributions are taken directly from your paycheck, Roth 401(k) contributions will not reduce your