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Technically, the contribution limits for 401k are currently $66,000 but your employer has to do the heavy-lifting, though that won’t happen at most employers. Y
by jandrewrogers 3y ago
Technically, the contribution limits for 401k are currently $66,000 but your employer has to do the heavy-lifting, though that won’t happen at most employers. You can thread the needle under very narrow circumstances to effect this situation by being appropriately self-employed with a number of constraints but it isn’t easy or common.
The US retirement system strongly and preferentially benefits corporate lifers.
- gymbeaux 3y agoHah even in tech it’s very common for a 401k match to have a 4-5 year vesting schedule and max out at under 6%. The only people contributing 66k/year to their 401k accounts are Tim Cook and Friends.
- hotnfresh 3y agoIt benefits people who can structure things such that they and a bunch of their family members are “employed” by a “company” that just happens to do the extremely-rare thing of maxing out the employer-side contribution. At least I assume that’s the scam. Almost no one working for a normal company sees the max contribution, certainly, even high earners.