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Re: Limiting tax-deferred savings

Posted: Thu Jan 10, 2019 8:17 am
by barrett
Kbg wrote:
Thu Jan 10, 2019 7:36 am
What is this I-ORP you speak of and where can I find it?
Tis here, young Kbg:

https://www.i-orp.com/CashAcc/extended.html

Takes a bit to get a handle on it but it's a great tool. Enter all amounts as thousands (so $20,000 would just be 20). Don't use any commas with your dollar amounts or you will get an error message.

May your numbers be most great!

Re: Limiting tax-deferred savings

Posted: Thu Jan 10, 2019 9:26 am
by Kbg
barrett wrote:
Thu Jan 10, 2019 8:17 am
Kbg wrote:
Thu Jan 10, 2019 7:36 am
What is this I-ORP you speak of and where can I find it?
Tis here, young Kbg:

https://www.i-orp.com/CashAcc/extended.html

Takes a bit to get a handle on it but it's a great tool. Enter all amounts as thousands (so $20,000 would just be 20). Don't use any commas with your dollar amounts or you will get an error message.

May your numbers be most great!
Thanks!

Re: Limiting tax-deferred savings

Posted: Fri Jan 11, 2019 8:12 am
by sophie
OK, so I tried running iORP with varying limits on 401K contributions. Interestingly, the numbers for annual income & final balance did not budge until I set current tax bracket to 32% and compared zero contributions to max contributions. Then I got a very slight change of $1000/year income less with zero contributions.

Either there's something wrong with iORP's calculator, or it truly doesn't matter. Food for thought, because there are definite advantages to having more control over your investments. Not changing anything now though.

Re: Limiting tax-deferred savings

Posted: Fri Jan 11, 2019 10:37 am
by stuper1
If iORP isn't showing a change there then doesn't that basically mean that it estimates you will be in the same marginal tax bracket in retirement as you are now? And if that is the case, then truly it doesn't matter which way you go. Unless I'm misunderstanding, which is very possible. I'm no expert on this stuff.