401(k) Plans: The Basics

如果你像许多美国人一样，你可能有一个雇主赞助的退休计划.  This is the first article in a three-part series about understanding 401k, 403b, and Defined Benefit Plans.

Retirement plans established under Section 401(k) of the Internal Revenue Code, commonly referred to as “401(k) plans,” have become one of the most popular types of employer-sponsored retirement plans.

Understanding 401(k) Plans

401(k)计划是一项由雇主赞助的退休储蓄计划，在帮助你规划未来的同时提供显著的税收优惠. You contribute to the plan via payroll deduction, which can make it easier for you to save for retirement. One important feature of a 401(k) plan is your ability to make pre-tax contributions to the plan. 税前意味着在联邦(和大多数州)所得税计算之前，你的贡献从你的工资中扣除并转移到401(k)计划中. 这减少了你当前的应税收入——你不用为你的贡献支付所得税, 或者在您收到该计划的付款之前，您的供款的任何投资收益.

For example, Melissa earns $50,000 annually. She contributes $5,000 of her pay to her employer’s 401(k) plan on a pre-tax basis. As a result, Melissa’s taxable income is now $45,000. She isn’t taxed on her contributions ($5,000), or any investment earnings until she receives a distribution from the plan.

You may also be able to make Roth contributions to your 401(k) plan. 罗斯401(k)计划的缴款是在税后基础上进行的，就像罗斯个人退休账户的缴款一样. Unlike pre-tax contributions to a 401(k) plan, 没有预先的税收优惠——你的缴款会从你的工资中扣除，并在计算完税款后转入该计划. 但是，如果你的罗斯401(k)账户的分配是合格的，那么你就完全不用缴纳联邦所得税. (See the section below on income tax consequences for more detail.)

How much can I contribute?

Generally, you can contribute up to $19,500 ($26,如果你的年龄在50岁或50岁以上，你可以在2020年将养老金增加到401k (k)计划(除非你的计划规定了更低的限额). If your plan allows Roth 401(k) contributions, 你可以按照自己的意愿将你的供款分成税前供款和罗斯供款.

Keep in mind that if you also contribute to another employer’s 401(k), 403(b), SIMPLE, or SAR-SEP plan, 你对所有这些计划(包括税前和罗斯计划)的总缴款不能超过19美元,500 in 2020 ($26,000 if you’re age 50 or older). 如果你参加了多个雇主的计划，你要确保自己没有超过这些限制.

When can I contribute?

While a 401(k) plan can make you wait up to a year to participate, many plans let you begin contributing with your first paycheck. Some plans also provide for automatic enrollment. If you’ve been automatically enrolled, 一定要检查你的默认供款率和投资是否适合你的情况.

Can I also contribute to an IRA?

Yes. 参加401(k)计划不会影响你向个人退休账户(罗斯账户或传统账户)缴款的能力。. You can contribute up to $6,000 to an IRA in 2020 ($7,000 if you’re age 50 or older) if you have at least that much in earned income. 如果你参加401(k)计划，你对传统IRA的可扣除额可能会受到限制, depending on your salary level.

What are the income tax consequences of contributing to a 401(k) plan?

When you make pre-tax 401(k) contributions, you don’t pay current income taxes on those dollars. 但是，当您从该计划中获得分配时，您的供款和投资收益要全额纳税. In contrast, Roth 401(k) contributions are subject to income taxes upfront, 但是，您的捐款和收入的合格分配完全免交联邦所得税. A distribution is qualified if it meets the following requirements:

• It is made after the end of a five-year waiting period
• It is made after you turn 59½, become disabled, or die

合格分配的5年等待期从你首次向401(k)计划缴纳罗斯退休金的那一年的1月1日开始. For example, 如果你在2020年12月首次向雇主的401(k)计划缴款, your five-year waiting period begins January 1, 2020, and ends on December 31, 2024.

在59岁半之前从税前账户中提款，以及从罗斯账户中不符合条件的提款，都要缴纳常规所得税和10%的罚款税，除非有例外情况. Due to the Coronavirus Aid, Relief, and Economic Security (CARES) Act, penalty-free withdrawals of up to $100,000 may be allowed in 2020 for qualified individuals affected by COVID-19. 个人将能够在三年内分摊相关收入以缴纳所得税，并将有最多三年的时间进行再投资.

What about employer contributions?

Employers don’t have to contribute to 401(k) plans, but many will match all or part of your contributions. 你的雇主可以匹配你的罗斯供款，你的税前供款，或者两者都匹配. But your employer’s contributions are always made on a pre-tax basis, even if they match your Roth contributions. That is, your employer’s contributions, and investment earnings on those contributions, are always taxable to you when you receive a distribution from the plan.

尽可能多地供款，以便从雇主那里获得最大的匹配供款. This is essentially free money that can help you pursue your retirement goals.

Should I make pre-tax or Roth contributions (if allowed)?

If you think you’ll be in a higher tax bracket when you retire, Roth 401(k) contributions may be more appealing, since future withdrawals, assuming they’re qualified, will generally be tax-free. However, if you think you’ll be in a lower tax bracket when you retire, 税前的401(k)缴款可能更合适，因为你的缴款现在会减少你的应税收入. Your investment horizon and projected investment results are also important factors.

What happens when I terminate employment?

当你终止雇佣关系时，你通常会丧失所有尚未归属的供款. (Vesting means that you own the contributions.) Your contributions and the earnings on them are always 100% vested. 但你的401(k)计划可能需要长达六年的服务时间，才能完全归属于雇主匹配的供款和相关收入(尽管有些计划的归属时间表要快得多)。.

When you terminate employment, you can generally leave your money in your 401(k) plan, 虽然有些计划要求你一旦达到计划的正常退休年龄(通常是65岁)就提取资金。. Your plan may also “cash you out” if your vested balance is $5,000 or less, but if your payment is more than $1,000, the plan generally must roll your funds into an IRA established on your behalf, unless you elect to receive your payment in cash. [This $1,你的罗斯401(k)账户和401(k)计划中的其他资金的限额是分别确定的.]

You can also roll all or part of your Roth 401(k) dollars over to a Roth IRA, and your non-Roth dollars to a traditional IRA. You may also be able to convert your non-Roth dollars to a Roth IRA, but income taxes will apply to any tax-deferred amounts in the year of conversion. 你也可以将你的资金滚转到另一个接受滚转的雇主的计划中.

Finally, you may also be able to take a cash distribution of your contributions and earnings, as well as any vested employer amounts. However, 请记住，任何延税基金都需要缴纳所得税，如果你的年龄在59岁半以下，可能还需要缴纳10%的罚款，而且不适用例外情况. (As noted above, 2020年，受冠状病毒影响的合格参与者可能被允许豁免罚款税，其分配金额最高可达100美元,000.)

Note: When considering a rollover, to either an IRA or to another employer’s retirement plan, you should consider carefully the investment options, fees and expenses, services, ability to make penalty-free withdrawals, degree of creditor protection, and distribution requirements associated with each option.

What else do I need to know?

• If your plan allows loans, 你可能有资格借到你现有401(k)账户的一半(最多50美元),000) if you need the money. Due to the CARES Act, loans of up to 100,000 or 100% of your vested account balance may be allowed between March 27, 2020, and September 22, 2020.
• 如果你有紧急和沉重的经济需要，你也可以艰难地提款. 但这应该是最后的手段——困难分配通常是要向你征税的.
• 在您年满59岁半(某些情况下为55岁)之前，您的计划中的分配可能会受到10%的提前分配罚款，除非有例外情况.
• You may be eligible for an income tax credit of up to $1,000 for amounts you contribute, depending on your income.
• 在你或你的雇主破产的情况下，你的资产通常会得到充分的保护.
• Most 401(k) plans let you direct the investment of your account. 你的雇主提供了一系列投资选择(例如，一系列共同基金). 但选择最适合你退休目标的投资是你的责任.

Once you’re comfortable understanding 401k plans, come back to learn the basics of 403(b) plans and the unique planning opportunities they present.

At Austin Asset, we are Fee-Only Financial Advisors. 我们寻求通过真实和持久的关系为全国快3信誉最好的老平台带来清晰和目的. For Life.