The Hidden Benefits of After-Tax Contributions

November 20, 2014

No, I’m not talking about Roth contributions. If your employer’s retirement plan offers this option, you may be able to contribute more than the annual limit of $17,500 (or $23,000 if you’re 50 or older) to your plan in the form of “after-tax” contributions. As the name implies, the contributions are taxed before you put them into the plan. And unlike Roth contributions  (which are also “after-tax”), the earnings are taxed when you withdraw them. Continue reading “The Hidden Benefits of After-Tax Contributions”