Roth 401(k) vs. Traditional 401(k)

Inputs

Annual Contribution

$0 $100,000

Years to Retirement

1 50

Annual Rate of Return (%)

%

Current Tax Rate (%)

▼

Expected Retirement Tax Rate (%)

▼

Future Value of Roth 401(k)

$ 883,609

Future Value of Traditional 401(k)

$ 1,132,832

After-Tax Value of Traditional 401(k)

$ 795,248

When your child has income, there’s a good chance that he or she will need to report it and pay taxes.

Compare how the same contribution grows differently in taxable versus tax-deferred accounts.

Couples may be able to head off many of the problems in a marriage that money can cause.