New Roth 401(k) Adds to Workers' Investment Options

[roth401k]

New Roth 401(k) Adds to Workers' Investment Options

AccountingWEB.com - March 29, 2005 - Whether it makes more sense to pay taxes now or at retirement is a question many workers will be pondering if their employers offer them a new Roth 401(k) investment option.

Starting next year, the Internal Revenue Service will allow employers to offer a Roth 401(k), which has been described as a cross between the Roth IRA and a traditional 401(k). More than a third of employers say they “are very or somewhat likely” to add the new option, the Dallas Morning News reported, citing a study by Hewitt Associates, an employee benefits consulting firm.

One of the hallmarks of the Roth 401(k) is that ............................

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