Finance Dave
Thinks s/he gets paid by the post
- Joined
- Mar 29, 2007
- Messages
- 1,864
We can put lump sums to the 401k, but only in the fall...I think November. So I'm not sure I can employ quite that strategy. However, I could increase my 401k percentage to the max...not sure what that is....and try to get as much in those first few months as I can to reduce taxable income. The good news is that since I'll only be working a partial year...income will drop quite a bit..so our marginal rate MIGHT go down (would have to see how far into the bracket we are currently).So, $16,500 went right to the 403b in a year in which I still had substantial residual income from payouts, last payroll check, and some transition issue consulting fees. Nice deduction for that year. So low was my income after the 403b contribution, deferred comp, etc, that I will actually be able to do some conversions or take some qualified income just to fill my 15% bracket.