How to make that year-end bonus last a lifetime

1. Boost your 401(k). Before you add your bonus to your 401(k) plan balance, check with your employer on how the bonus is handled. In some cases, your company may not allow you to contribute your 401(k) using your bonus.

In other cases, your 401(k) plan may be set up to withhold the same percentage from your bonus as from your payslip. Therefore, if you normally contribute 10 percent from each paycheck to your 401(k), that same amount can be deducted from your bonus, unless you say otherwise. So in the case of a $15,000 bonus, $1,500 will turn into your 401(k).

Read moreChoosing Between a Traditional Roth IRA

Of course, you can’t contribute more than the annual limit, so be sure to check how much you’ve contributed for the year so far. Your 401(k) contribution limit for 2014 is $17,500 or $23,000 if you’re over 50.

Starting in 2015, the maximum amount you can contribute to a 401(k) is $18,000 per person. If you are 50 or older, you can contribute an additional $6,000 in 2015 for a total of $24,000 per year.

Last, Geek Preview sent you details about the topic “How to make that year-end bonus last a lifetime❤️️”.Hope with useful information that the article “How to make that year-end bonus last a lifetime” It will help readers to be more interested in “How to make that year-end bonus last a lifetime [ ❤️️❤️️ ]”.

Posts “How to make that year-end bonus last a lifetime” posted by on 2022-07-24 00:46:54. Thank you for reading the article at Geekpreview.net

Related  How to break your lease
Back to top button