Edward (Ed) Marsi is a respected presence in the Manchester, New Hampshire community who serves as senior financial consultant with TD Ameritrade. Client focused, Edward Marsi assists people in developing plans that reflect their specific retirement needs and goals.
For many families facing a host of unknowns, retirement planning can be a daunting task. Tackling the intricacies of savings and portfolio allocation begins with finding out the limits associated with tax-advantageous retirement plans. With 403B plans typically allowing greater contributions than 401K plans, one consideration is that 403B plans allow for extra contributions if the person has worked at his or her company for 15 years or more.
Another advantage of 401K and 403B accounts, up to allowable limits, is that their taxable income reductions often come along with employer matching. This can provide a major boost to retirement savings, even if it is a small percentage relative to employee-allocated money. Tax experts recommend using free resources such as a 403b calculator in weighing tax impacts and advantages vis-a-vis other options that are tax deferred, such as the Roth retirement plan.