Quick: which type of device is currently dominating Amazonâs Best Sellers list, holding the top two overall spots (as of this writing)? Answer: E. And itâs not close. Between the Amazon Fire TV, Google Chromecast, Roku 3, and Apple TV, streaming media players are lighting up online retail.
Moreover, you can invest up to the maximum in each account. In 2016, the limits are $18,000 in each type of account, plus catch-up contributions - so you could make a total retirement contribution of as much as $36,000 (or $48,000 if you are 50 or older).
So, if you are aged 55 in 2013, you can contribute $17,500 to your 401k plan plus an additional amount of $5,500 â totalling $23,000. Pre-tax contributions are more affordable than you think. As we mentioned earlier, only around 5 per cent of 401k plan holders maximise their contributions every year.nother way to look at it is that when you make pre-tax contributions of $17,000 to your 401(k) plan, you can save approximately $6,000 in federal and state income taxes each year.â. When working out what to contribute to your 401k plan, itâs always worth remembering that you should invest something rather than nothing.