KJE.Default.TaxRate=25;KJE.Default.TaxRateRetire=15;KJE.Default.TaxRateCapGain=15;KJE.Default.StateTaxRate=8;KJE.Default.IncomeTaxTableTaxYear="Use the table below to assist you in estimating your federal tax rate.
Tax Rate | Married Filing Jointly or Qualified Widow(er) | Single | Head of Household | Married Filing Separately |
---|---|---|---|---|
10% | $0 - $18,650 | $0 - $9,325 | $0 - $13,350 | $0 - $9,325 |
15% | $18,650 - $75,900 | $9,325 - $37,950 | $13,350 - $50,800 | $9,325 - $37,950 |
25% | $75,900 - $153,100 | $37,950 - $91,900 | $50,800 - $131,200 | $37,950 - $76,550 |
28% | $153,100 - $233,350 | $91,900 - $191,650 | $131,200 - $212,500 | $76,550 - $116,675 |
33% | $233,350 - $416,700 | $191,650 - $416,700 | $212,500 - $416,700 | $116,675 - $208,350 |
35% | $416,700 - $470,700 | $416,700 - $418,400 | $416,700 - $444,550 | $208,350 - $235,350 |
39.6% | Over $470,700 | Over $418,400 | Over $444,550 | Over $235,350 |
*Caution: Do not use these tax rate schedules to figure 2016 taxes. Use only to figure 2017 estimates. Source: Rev. Proc. 2016-55 |
Filing Status | Standard Deduction |
---|---|
Married Filing Joint | $12,700 |
Qualified Widow(er) | $12,700 |
Single | $6,350 |
Heads of Household | $9,350 |
Married Filing Separately | $6,350 |
0){D=(a/(1-A)-a)}var l=(ak/(1-A)-ak);m=g.round(m,S);var O=g.round((m)*(1-v),S);var X=K;K=T[T.length-1];var e=O+K;var c=g.round(Math.abs(e-y),E);if(c==0){e=y}if(c==0){aa=this.MSG_GOSAME_SHORT;q=this.MSG_GOSAME}else{if(y>e){aa=this.MSG_GOROTH_SHORT;q=this.MSG_GOROTH}else{aa=this.MSG_GOTRAD_SHORT;q=this.MSG_GOTRAD}}this.RESULTS_MSG=KJE.getKJEReplaced(q,g.dollars(c,E));this.RESULTS_SHORT=KJE.getKJEReplaced(aa,g.dollars(c,E));var ah=a+D;this.TOTAL_ROTH_COMBINED=ak+l;this.TOTAL_BOTH_CONTRIBUTIONS=an+a;this.TOTAL_BOTH_CURRENTTAX=D;this.TOTAL_BOTH_COMBINED=ah+an;this.TOTAL_TRADITIONAL_RETIRETAX=m-O;this.TOTAL_TAXABLE_RETIRETAX=X-K;this.TOTAL_BOTH_RETIRETAX=this.TOTAL_TRADITIONAL_RETIRETAX+this.TOTAL_TAXABLE_RETIRETAX;this.TOTAL_ROTH_RETIRETAX=0;this.TOTAL_BOTH=O+K;this.TOTAL_BOTH_BF_TAX=m+X;var ai=(F<=1?0:F);j=V/100;w[0]=g.round(KJE.PMT_BEGIN(j,ai,m),S);var ac=g.round(w[0]*(R/100),S);ae[0]=g.round(w[0]-ac,S);z[0]=g.round(KJE.PMT_BEGIN(j*(1-v),ai,K),S);w[1]=g.round(KJE.PMT_BEGIN(j,ai,y),S);ae[1]=w[1];z[1]=0;r[0]=y;r[1]=y;f[0]=m+X;f[1]=O+K;this.cats=KJE.FloatArray(k);if(Y){var J=this.sSchedule;J.clearRepeat();J.addHeader(J.sReportCol(" Age",1),J.sReportCol("Projected Balance",2),J.sReportCol("Traditional Account Net After Taxes",3),J.sReportCol("Non-Tax-Deferred Net Projected Balance",4),J.sReportCol("Total Traditional & Non-Tax-Deferred Projected Balance",5),J.sReportCol("Total Roth Projected Balance",6))}for(var af=1;af<=k;af++){aj=af-1;this.cats[aj]=g.number(aj+u+1);if(Y){J.addRepeat(this.cats[aj],g.dollars(ab[aj],E),g.dollars(h[aj],E),g.dollars(T[aj],E),g.dollars(t[aj],E),g.dollars(L[aj],E))}}this.DEDUCTIBLE_PERCENT=H;this.V401K_TAX_SAVINGS=ad;this.TOTAL_CONTRIBUTIONS=W;this.V401K_TOTAL_BF_TAX=m;this.V401K_TOTAL_AF_TAX=O;this.TOTAL_TAXABLE=K;this.TOTAL_ROTH=y;this.TOTAL_401K=e;this.TOTAL_DIFFERENCE=c;this.TOTAL_TAXABLE_BF_TAX=X;this.CONTRIBUTE_MAXIMUM=d;this.TOTAL_ROTH_CONTRIBUTIONS=ak;this.TOTAL_TRADITIONAL_CONTRIBUTIONS=an;this.TOTAL_TAXABLE_CONTRIBUTIONS=a;this.TOTAL_TAXABLE_CURRENTTAX=D;this.TOTAL_ROTH_CURRENTTAX=l;this.TOTAL_TAXABLE_COMBINED=ah;this.TRADITIONAL_WITHDRAWAL_TAX=ac;this.YEARS_UNTIL_RETIREMENT=p;this.ANNUAL_TAXABLE_CONTRIBUTION=ad*Q;this.ANNUAL_OVERLIMIT=ao;this.ANNUAL_TRADITIONAL_CONTRIBUTION=ANNUAL_TRADITIONAL_CONTRIBUTION;this.ANNUAL_ROTH_CONTRIBUTION=Z;this.ROTH_PAY=ag;this.TRADITIONAL_PAY=C;this.DIFFERENCE_PAY=o;this.ANNUAL_PERIODS=Q};KJE.Compare401kCalc.prototype.formatAmounts=function(f){var a=this.iDISPLAY_DECIMAL;var b=this.iDECIMAL;var e=KJE;f=KJE.replace("MSG_AMOUNT1",this.MSG_AMOUNT1,f);f=KJE.replace("MSG_AMOUNT2",this.MSG_AMOUNT2,f);f=KJE.replace("MSG_AMOUNT3",("",this.TOTAL_TAXABLE>0?this.MSG_AMOUNT3:""),f);var c=this.MSG_CONTRIBUTION2;if(this.CONTRIBUTION_TYPE!=KJE.Compare401kCalc.TYPE_TRADITIONAL&&!this.bKeepSame){c=this.MSG_EQUIVALENT+c}var d=this.MSG_CONTRIBUTION1;if(this.CONTRIBUTION_TYPE!=KJE.Compare401kCalc.TYPE_ROTH&&!this.bKeepSame){d=this.MSG_EQUIVALENT+d}f=KJE.replace("MSG_CONTRIBUTION1",d,f);f=KJE.replace("MSG_CONTRIBUTION2",c,f);f=KJE.replace("MSG_CONTRIBUTION3",("",this.TOTAL_TAXABLE>0?this.MSG_CONTRIBUTION3:""),f);f=KJE.replace("CONTRIBUTION1",e.dollars(this.ANNUAL_ROTH_CONTRIBUTION,a),f);f=KJE.replace("CONTRIBUTION2",e.dollars(this.ANNUAL_TRADITIONAL_CONTRIBUTION,a),f);f=KJE.replace("CONTRIBUTION3",this.TOTAL_TAXABLE>0?e.dollars(this.ANNUAL_TAXABLE_CONTRIBUTION,a):"",f);f=KJE.replace("AMOUNT1",e.dollars(this.ROTH_PAY,b),f);f=KJE.replace("AMOUNT2",e.dollars(this.TRADITIONAL_PAY,b),f);f=KJE.replace("AMOUNT3",this.TOTAL_TAXABLE>0?e.dollars(this.V401K_TAX_SAVINGS,b):"",f);return f};KJE.Compare401kCalc.prototype.formatReport=function(d,g){g=(g?true:false);var e=KJE;var a=this.iDISPLAY_DECIMAL;var c=this.iDECIMAL;var f=d;if(this.TOTAL_TAXABLE>0){f=KJE.replace("","",f);f=KJE.replace("","",f);f=KJE.replace("","","-->",f)}else{f=KJE.replace("","","-->",f);f=KJE.replace("","",f);f=KJE.replace("","",f)}if(e.round(this.V401K_TOTAL_BF_TAX,a)==e.round(this.TOTAL_ROTH,a)){f=KJE.replace(" ","",f);f=KJE.replace(" ","",f);f=KJE.replace(" ","","-->",f)}else{f=KJE.replace(" ","","-->",f);f=KJE.replace(" ","",f);f=KJE.replace(" ","",f)}var b=KJE.Default.PAY_PERIODS[this.PAY_PERIOD];f=KJE.replace("PAY_LABEL_LOWER",b.toLowerCase(),f);f=KJE.replace("PAY_LABEL",b,f);f=KJE.replace("CURRENT_INCOME",e.dollars(this.CURRENT_INCOME,a),f);f=KJE.replace("TOTAL_BOTH_COMBINED",e.dollars(this.TOTAL_BOTH_COMBINED,a),f);f=KJE.replace("TOTAL_ROTH_COMBINED",e.dollars(this.TOTAL_ROTH_COMBINED,a),f);f=KJE.replace("TOTAL_TAXABLE_COMBINED",e.dollars(this.TOTAL_TAXABLE_COMBINED,a),f);f=KJE.replace("TOTAL_TAXABLE_CURRENTTAX",e.dollars(this.TOTAL_TAXABLE_CURRENTTAX,a),f);f=KJE.replace("TOTAL_ROTH_CURRENTTAX",e.dollars(this.TOTAL_ROTH_CURRENTTAX,a),f);f=KJE.replace("TOTAL_BOTH_CURRENTTAX",e.dollars(this.TOTAL_BOTH_CURRENTTAX,a),f);f=KJE.replace("TOTAL_TRADITIONAL_RETIRETAX",e.dollars(this.TOTAL_TRADITIONAL_RETIRETAX,a),f);f=KJE.replace("TOTAL_TAXABLE_RETIRETAX",e.dollars(this.TOTAL_TAXABLE_RETIRETAX,a),f);f=KJE.replace("TOTAL_BOTH_RETIRETAX",e.dollars(this.TOTAL_BOTH_RETIRETAX,a),f);f=KJE.replace("TOTAL_ROTH_RETIRETAX",e.dollars(this.TOTAL_ROTH_RETIRETAX,a),f);f=KJE.replace("TOTAL_BOTH_BF_TAX",e.dollars(this.TOTAL_BOTH_BF_TAX,a),f);f=KJE.replace("TOTAL_TAXABLE_BF_TAX",e.dollars(this.TOTAL_TAXABLE_BF_TAX,a),f);f=KJE.replace("YEARS_OF_WITHDRAWALS",e.number(this.YEARS_OF_WITHDRAWALS,0),f);f=KJE.replace("CURRENT_AGE",e.number(this.CURRENT_AGE,0),f);f=KJE.replace("ANNUAL_ROTH_CONTRIBUTION",e.dollars(this.ANNUAL_ROTH_CONTRIBUTION,a),f);f=KJE.replace("ANNUAL_TRADITIONAL_CONTRIBUTION",e.dollars(this.ANNUAL_TRADITIONAL_CONTRIBUTION,a),f);f=KJE.replace("RETIREMENT_RATE_OF_RETURN",((this.YEARS_OF_WITHDRAWALS<=1)?MSG_PLACE_HOLDER:e.percent((this.RETIREMENT_RATE_OF_RETURN<0?this.RATE_OF_RETURN:this.RETIREMENT_RATE_OF_RETURN)/100,0)),f);f=KJE.replace("RATE_OF_RETURN",e.percent(this.RATE_OF_RETURN/100,0),f);f=KJE.replace("AGE_OF_RETIREMENT",e.number(this.AGE_OF_RETIREMENT,0),f);f=KJE.replace("CURRENT_TAX_RATE",e.percent(this.CURRENT_TAX_RATE/100,0),f);f=KJE.replace("RETIREMENT_TAX_RATE",e.percent(this.RETIREMENT_TAX_RATE/100,0),f);f=KJE.replace("YEARS_UNTIL_RETIREMENT",e.number(this.YEARS_UNTIL_RETIREMENT,0),f);f=KJE.replace("DEDUCTIBLE_PERCENT",e.percent(this.DEDUCTIBLE_PERCENT,0),f);f=KJE.replace("V401K_TAX_SAVINGS",e.dollars(this.V401K_TAX_SAVINGS,a),f);f=KJE.replace("TOTAL_ROTH_CONTRIBUTIONS",e.dollars(this.TOTAL_ROTH_CONTRIBUTIONS,a),f);f=KJE.replace("TOTAL_TAXABLE_CONTRIBUTIONS",e.dollars(this.TOTAL_TAXABLE_CONTRIBUTIONS,a),f);f=KJE.replace("TOTAL_TRADITIONAL_CONTRIBUTIONS",e.dollars(this.TOTAL_TRADITIONAL_CONTRIBUTIONS,a),f);f=KJE.replace("V401K_TOTAL_BF_TAX",e.dollars(this.V401K_TOTAL_BF_TAX,a),f);f=KJE.replace("V401K_TOTAL_TAXES",e.dollars(this.V401K_TOTAL_BF_TAX-this.V401K_TOTAL_AF_TAX,a),f);f=KJE.replace("V401K_TOTAL_AF_TAX",e.dollars(this.V401K_TOTAL_AF_TAX,a),f);f=KJE.replace("TOTAL_TAXABLE",e.dollars(this.TOTAL_TAXABLE,a),f);f=KJE.replace("TOTAL_401K",e.dollars(this.TOTAL_401K,a),f);f=KJE.replace("TOTAL_DIFFERENCE",e.dollars(this.TOTAL_DIFFERENCE,a),f);f=KJE.replace("RESULTS_MSG",this.RESULTS_MSG,f);f=KJE.replace("RESULTS_SHORT",this.RESULTS_SHORT,f);f=KJE.replace("TOTAL_ROTH",e.dollars(this.TOTAL_ROTH,a),f);f=KJE.replace("ROTH_PAY_PERIOD",e.dollars(this.ANNUAL_ROTH_CONTRIBUTION/this.ANNUAL_PERIODS,c),f);f=KJE.replace("TRADITIONAL_PAY_PERIOD",e.dollars(this.ANNUAL_TRADITIONAL_CONTRIBUTION/this.ANNUAL_PERIODS,c),f);f=KJE.replace("ROTH_PAY",e.dollars(this.ROTH_PAY,c),f);f=KJE.replace("TRADITIONAL_PAY",e.dollars(this.TRADITIONAL_PAY,c),f);f=KJE.replace("DIFFERENCE_PAY",e.dollars(this.ROTH_PAY-this.TRADITIONAL_PAY,c),f);f=KJE.replace("TRADITIONAL_WITHDRAWAL_TAX",e.dollars(this.TRADITIONAL_WITHDRAWAL_TAX,a),f);f=KJE.replace("ROTH_ANNUAL_WITHDRAW_BT",e.dollars(this.DS_ANNUAL_WITHDRAW_BT[1],a),f);f=KJE.replace("ROTH_ANNUAL_WITHDRAW_AF",e.dollars(this.DS_ANNUAL_WITHDRAW_AF[1],a),f);f=KJE.replace("ROTH_ANNUAL_WITHDRAW_TAXABLE_ACCOUNT",e.dollars(this.DS_ANNUAL_WITHDRAW_TAXABLE_ACCOUNT[1],a),f);f=KJE.replace("TRADITIONAL_ANNUAL_WITHDRAW_BT",e.dollars(this.DS_ANNUAL_WITHDRAW_BT[0],a),f);f=KJE.replace("TRADITIONAL_ANNUAL_WITHDRAW_AF",e.dollars(this.DS_ANNUAL_WITHDRAW_AF[0],a),f);f=KJE.replace("TRADITIONAL_ANNUAL_WITHDRAW_TAXABLE_ACCOUNT",e.dollars(this.DS_ANNUAL_WITHDRAW_TAXABLE_ACCOUNT[0],a),f);f=KJE.replace("CURRENT_CONTRIBUTION_TYPE",KJE.Compare401kCalc.CONTRIBUTION_DESC[this.CONTRIBUTION_TYPE],f);f=KJE.replace("ANNUAL_CONTRIBUTION",e.dollars(this.ANNUAL_CONTRIBUTION,a),f);f=KJE.replace("ANNUAL_OVERLIMIT",e.dollars(this.ANNUAL_OVERLIMIT,a),f);f=KJE.replace("TOTAL_BOTH_CONTRIBUTIONS",e.dollars(this.TOTAL_BOTH_CONTRIBUTIONS,a),f);f=KJE.replace("TOTAL_BOTH",e.dollars(this.TOTAL_BOTH,a),f);if(!g){f=f.replace("**REPEATING GROUP**",this.sSchedule.getRepeat());this.sSchedule.clearRepeat()}return f};KJE.Compare401kCalc.prototype.dMaximumContribution=function(c,a){var b=(c>=KJE.Compare401kCalc.ANNUAL_MAX.length?KJE.Compare401kCalc.ANNUAL_MAX.length-1:c);return KJE.Compare401kCalc.ANNUAL_MAX[b]+((a+c)<50?0:KJE.Compare401kCalc.CATCHUP_MAX[b])};KJE.Compare401kCalc.prototype.dActualContribution=function(d,b,c,a){return(a&&d!=0?b:c)};KJE.Compare401kCalc.prototype.dActualDeduction=function(b,a){return(b>a?a:b)};KJE.Default.PAY_WEEKLY=0;KJE.Default.PAY_BIWEEKLY=1;KJE.Default.PAY_BIMONTHLY=2;KJE.Default.PAY_MONTHLY=3;KJE.Default.PAY_ANNUAL=4;KJE.Default.PAY_PERIOD_IDs=[KJE.Default.PAY_WEEKLY,KJE.Default.PAY_BIWEEKLY,KJE.Default.PAY_BIMONTHLY,KJE.Default.PAY_MONTHLY,KJE.Default.PAY_ANNUAL];KJE.Default.PAY_PERIODS=["Weekly","Every other week","Twice a month","Monthly","Annually"];KJE.Default.PAY_FREQUENCY=[52,26,24,12,1];KJE.Default.getPayPeriodDrop=function(b,a,c){return KJE.getDropBox(b,KJE.parameters.get(b,(!a?KJE.Default.PAY_BIWEEKLY:a)),KJE.Default.PAY_PERIOD_IDs,KJE.Default.PAY_PERIODS,c)};KJE.Compare401kCalc.TYPE_ROTH=1;KJE.Compare401kCalc.TYPE_TRADITIONAL=0;KJE.Compare401kCalc.ANNUAL_MAX=[18000,18000,18000,18000];KJE.Compare401kCalc.CATCHUP_MAX=[6000,6000,6000,6000];KJE.Compare401kCalc.CONTRIBUTION_DESC=["Traditional","Roth"];KJE.Compare401kCalc.CONTRIBUTION_INDEX=[KJE.Compare401kCalc.TYPE_TRADITIONAL,KJE.Compare401kCalc.TYPE_ROTH];KJE.CalcName="Which works for you: a Roth 401(k) or a traditional 401(k)";KJE.CalcType="Compare401k";KJE.CalculatorTitleTemplate="KJE1";KJE.parseInputs=function(b){b=KJE.replace("**PAY_PERIOD**",KJE.Default.getPayPeriodDrop("PAY_PERIOD",KJE.Default.PAY_MONTHLY),b);var a=KJE.getDropBox("CONTRIBUTION_TYPE",KJE.parameters.get("CONTRIBUTION_TYPE",KJE.Compare401kCalc.TYPE_TRADITIONAL),KJE.Compare401kCalc.CONTRIBUTION_INDEX,KJE.Compare401kCalc.CONTRIBUTION_DESC);b=KJE.replace("**CONTRIBUTION_TYPE**",a,b);return b};KJE.initialize=function(){KJE.CalcControl=new KJE.Compare401kCalc();KJE.GuiControl=new KJE.Compare401k2(KJE.CalcControl)};KJE.Compare401k2=function(k){var h=KJE;var c=KJE.gLegend;var i=KJE.inputs.items;this.MSG_GRAPH4=KJE.parameters.get("MSG_GRAPH4","Roth 401(k)");this.MSG_GRAPH8=KJE.parameters.get("MSG_GRAPH8","Trad. 401(k)");this.MSG_GRAPH9=KJE.parameters.get("MSG_GRAPH9","Trad. 401(k) + non-tax-deferred account");KJE.NumberSlider("CURRENT_AGE","Current age",1,70,0);KJE.DollarSlider("ANNUAL_CONTRIBUTION","Current annual contribution",0,10000000,0,0,1);KJE.PercentSlider("ANNUAL_CONTRIBUTION_PERCENT","Current annual contribution",0,40);KJE.InvestRateSlider("RATE_OF_RETURN","Hypothetical rate of return");KJE.NumberSlider("AGE_OF_RETIREMENT","Age of retirement",60,70,0);KJE.PercentSlider("CURRENT_TAX_RATE","Current tax rate",0,50,2,1);KJE.PercentSlider("RETIREMENT_TAX_RATE","Retirement tax rate",0,50,2,1);KJE.DollarSlider("CURRENT_INCOME","Current income",0,20000000,0,0,2);KJE.DropBox("PAY_PERIOD","Pay frequency");KJE.DropBox("CONTRIBUTION_TYPE","Current contribution type");var j=KJE.gNewGraph(KJE.gCOLUMN,"GRAPH1",true,false,KJE.colorList[1],KJE.parameters.get("MSG_GRAPH_TITLE","Balances at Retirement"));j._showItemLabel=false;j._showItemLabelOnTop=false;j._axisX._fSpacingPercent=0.3;j._grid._showYGridLines=false;j._legend._iOrientation=KJE.parameters.get("GRAPH1_LEGEND",c.TOP_RIGHT);var b=KJE.parameters.get("MSG_DROPPER_TITLE","401(k) and your paycheck:");var e=KJE.parameters.get("MSG_DROPPER_CLOSETITLE","Click for Details");KJE.addDropper(new KJE.Dropper("INPUTS",true,b,b+KJE.subText(e,"KJECenter")),KJE.colorList[0]);this.DIV_RESULTS=document.getElementById("KJE-C-RESULTS");this.DIV_AMOUNTS=document.getElementById("KJE-C-AMOUNTS");if(this.DIV_RESULTS){this.DIV_RESULTS.innerHTML=k.formatReport(k.SUMMARY_TABLE,true);this.DIV_AMOUNTS.innerHTML=k.formatAmounts(k.AMOUNTS_TABLE,true);KJE.addDiv("COMPUTENOTES",KJE.colorList[0]);KJE.addDiv("RESULTS",KJE.colorList[0]);KJE.addDiv("RESULTS_NOTE",KJE.colorList[0]);KJE.addDiv("AMOUNTS",KJE.colorList[0]);var d=KJE.parameters.get("MSG_DROPPER2_TITLE","Conversion results Summary:");var g=KJE.parameters.get("MSG_DROPPER2_CLOSETITLE","Click for Details");KJE.addDropper(new KJE.Dropper("RESULT_SUMMARY",false,d,d+KJE.subText(g,"KJECenter")),KJE.colorList[0]);var a=KJE.parameters.get("MSG_DROPPER3_TITLE","Paycheck and contribution results:");var f=KJE.parameters.get("MSG_DROPPER3_CLOSETITLE","Click for Details");KJE.addDropper(new KJE.Dropper("AMOUNTS_SUMMARY",false,a,a+KJE.subText(f,"KJECenter")),KJE.colorList[0]);j._showItemLabel=true;j._showItemLabelOnTop=true}};KJE.Compare401k2.prototype.setValues=function(b){var a=KJE.inputs.items;b.PAY_PERIOD=Math.round(a.PAY_PERIOD.getValue());b.CONTRIBUTION_TYPE=Math.round(a.CONTRIBUTION_TYPE.getValue());b.CURRENT_INCOME=a.CURRENT_INCOME.getValue();b.CURRENT_AGE=a.CURRENT_AGE.getValue();b.ANNUAL_CONTRIBUTION=a.ANNUAL_CONTRIBUTION.getValue();b.ANNUAL_CONTRIBUTION_PERCENT=a.ANNUAL_CONTRIBUTION_PERCENT.getValue();b.RATE_OF_RETURN=a.RATE_OF_RETURN.getValue();b.RETIREMENT_RATE_OF_RETURN=6;b.AGE_OF_RETIREMENT=a.AGE_OF_RETIREMENT.getValue();b.CURRENT_TAX_RATE=a.CURRENT_TAX_RATE.getValue();b.RETIREMENT_TAX_RATE=a.RETIREMENT_TAX_RATE.getValue();b.YEARS_OF_WITHDRAWALS=20;b.ANNUAL_PERIODS=1};KJE.Compare401k2.clear=function(){if(this.DIV_RESULTS){this.DIV_RESULTS.innerHTML=""}};KJE.Compare401k2.prototype.refresh=function(e){var d=KJE;var c=KJE.gLegend;var b=KJE.inputs.items;var a=KJE.gGraphs[0];KJE.setTitleTemplate(this.DIV_RESULTS?e.RESULTS_MSG:e.RESULTS_SHORT);a.removeAll();a.setGraphCategories(e.total_cats);a.add(new KJE.gGraphDataSeries(e.DS_TOTAL2,(e.TOTAL_TAXABLE<=0?this.MSG_GRAPH8:this.MSG_GRAPH9),a.getColor(2)));a.add(new KJE.gGraphDataSeries(e.DS_TOTAL,this.MSG_GRAPH4,a.getColor(1)));a.paint();if(this.DIV_RESULTS){this.DIV_RESULTS.innerHTML=e.formatReport(e.SUMMARY_TABLE,true)}if(this.DIV_RESULTS){this.DIV_AMOUNTS.innerHTML=e.formatAmounts(e.AMOUNTS_TABLE,true)}};KJE.parameters.set("SUMMARY_TABLE","
Traditional | After-tax* | Total. + After-tax | Roth | |
A. Total Contributions Until Retirement Age | TOTAL_TRADITIONAL_CONTRIBUTIONS | TOTAL_TAXABLE_CONTRIBUTIONS | TOTAL_BOTH_CONTRIBUTIONS | TOTAL_ROTH_CONTRIBUTIONS |
B. Current Taxes | $0 | TOTAL_TAXABLE_CURRENTTAX | TOTAL_BOTH_CURRENTTAX | TOTAL_ROTH_CURRENTTAX |
C. Total Contributions Plus Current Taxes (A+B) | TOTAL_TRADITIONAL_CONTRIBUTIONS | TOTAL_TAXABLE_COMBINED | TOTAL_BOTH_COMBINED | TOTAL_ROTH_COMBINED |
D. Hypothetical Value at Retirement Age | V401K_TOTAL_BF_TAX | TOTAL_TAXABLE_BF_TAX | TOTAL_BOTH_BF_TAX | TOTAL_ROTH |
E. Taxes at Retirement | - TOTAL_TRADITIONAL_RETIRETAX | - TOTAL_TAXABLE_RETIRETAX | - TOTAL_BOTH_RETIRETAX | - TOTAL_ROTH_RETIRETAX |
F. Hypothetical Value at Retirement After Taxes (D-E) | V401K_TOTAL_AF_TAX | TOTAL_TAXABLE | TOTAL_BOTH | TOTAL_ROTH |
MSG_CONTRIBUTION1 | CONTRIBUTION1 | MSG_AMOUNT1 | AMOUNT1 |
MSG_CONTRIBUTION2 | CONTRIBUTION2 | MSG_AMOUNT2 | AMOUNT2 |
MSG_CONTRIBUTION3 | CONTRIBUTION3 | MSG_AMOUNT3 | AMOUNT3 |
Tax Rate | Married Filing Jointly or Qualified Widow(er) | Single | Head of Household | Married Filing Separately |
---|---|---|---|---|
10% | > $0 - < $18,650 | > $0 - < $9,325 | > $0 - < $13,350 | > $0 - < $9,325 |
15% | > $18,650 - < $75,900 | > $9,325 - < $37,950 | > $13,350 - < $50,800 | > $9,325 - < $37,950 |
25% | > $75,900 - < $153,100 | > $37,950 - < $91,900 | > $50,800 - < $131,200 | > $37,950 - < $76,550 |
28% | > $153,100 - < $233,350 | > $91,900 - < $191,650 | > $131,200 - < $212,500 | > $76,550 - < $116,675 |
33% | > $233,350 - < $416,700 | > $191,650 - < $416,700 | > $212,500 - < $416,700 | > $116,675 - < $208,350 |
35% | > $416,700 - < $470,700 | > $416,700 - < $418,400 | > $416,700 - < $444,550 | > $208,350 - < $235,350 |
39.6% | Over $470,700 | Over $418,400 | Over $444,550 | Over $235,350 |
*Caution: Do not use these tax rate schedules to figure 2016 taxes. Use only to figure 2017 estimates. Source: Rev. Proc. 2016-55 |
We have computed the equivalent Roth and traditional 401(k) contribution amounts that would result in the same take-home pay based on your assumed current tax rate. Keep in mind that if you reduce your contribution percentage, you may lose valuable employer matching contributions.
With traditional 401(k) accounts, taxes are paid on withdrawals. So the hypothetical balance from a traditional 401(k) account would be reduced after taxes are paid. Contributions to Roth 401(k) accounts are made with money that has already been taxed, so qualified withdrawals are not taxed again assuming all withdrawals are 'qualified.'
The federal tax rate that is paid on traditional 401(k) distributions will depend on how much of the account balance is distributed over the year. These examples assume a rate of return only until retirement age, however it is possible that you might take out payments over time, which would mean either account (traditional or Roth) could gain or lose value after retirement age depending on market conditions.
The hypothetical illustration assumes the variables listed above, with an annual effective rate of return. Changes in tax rates may impact the comparative results. Please consider your investment horizon and income tax brackets, both current and anticipated, when making an investment decision, as these may further impact the results of the comparison.
Hypothetical results are for illustrative purposes only and are not meant to represent the past or future performance of any specific investment vehicle. Investment return and principal value will fluctuate and when redeemed the investments may be worth more or less than their original cost. If you make pre-tax [traditional 401(k)] contributions, taxes are due upon withdrawal. If you make Roth 401(k) contributions, taxes are deducted before contributions are made, and taxes will not be due on your contributions and any earnings, upon a qualified distribution. In either case, you may be subject to a 10% additional tax if you take a withdrawal from the Plan prior to reaching age 59 1/2.
*To provide a fair comparison when the equivalent traditional 401(k) contribution would exceed the 402(g) contribution limit, we assume that the amount over the limit is invested (after taxes) in a tax-deferred account and taxes paid on any investment earnings upon distribution.
The annual maximum for 2017 is $18,000 (the Code Section 402(g) limit). If you are age 50 or over, a 'catch-up' provision allows you to contribute even more to your 401(k) account, provided your employer's plan allows catch-up contributions. In 2017, employees age 50 or older can deposit an additional $6,000 into their 401(k) account. It is also important to note that employer contributions will not count towards the employee's annual contribution limit under Code Section 402(g). Both the annual maximum and 'catch-up' provisions are indexed for inflation on an annual basis. Your employer's plan may also impose limits on how much you can contribute.
It is important to note that some employees are subject to another form of contribution limits. Employees classified as 'Highly Compensated' (those employees who either earn over $120,000 (in 2017) or own more than 5% of the company) may be subject to a lower annual contribution limit due to the rate of participation of Non-highly Compensated employees versus Highly Compensated employees during the year. Sometimes a company will provide for a lower annual contribution limit in the plan document based on a historical determination of the rate that will past testing; however, most of the time the plan will permit contributions by Highly Compensated Employees up to the Code Section 402(g) limit and then refund the excess contributions after the plan year testing is completed and the lower limit is determined. If you believe you may be a Highly Compensated employee, you should contact your employer to see if these additional contribution limits apply to you.
It is important to remember that future rates of return can't be predicted and that investments that have a higher return potential are subject to higher risk and volatility. The actual rate of return on investments can vary widely over time. This includes the potential loss of principal on your investment.
RESULTS_MSG How was this calculated?
Step 1: Based on whether you chose to input traditional or Roth we determined the equivalent contribution of the other type that would have the same impact on take home pay. If this amount exceeds your contribution limit we assume those excess tax savings would be invested as after-tax contributions to the plan, an IRA or other tax-deferred vehicle.
Step 2: First we found the value of a Roth 401(k) if you contributed ANNUAL_ROTH_CONTRIBUTION per year for YEARS_UNTIL_RETIREMENT years earning an assumed RATE_OF_RETURN per year. This equaled TOTAL_ROTH. Since qualified distributions from a Roth 401(k) are not taxed, the total value remains TOTAL_ROTH.
Step 3:We then computed the totals for a traditional 401(k). Again we determined the value of ANNUAL_TRADITIONAL_CONTRIBUTION per year for YEARS_UNTIL_RETIREMENT years earning an assumed RATE_OF_RETURN per year. This equaled V401K_TOTAL_BF_TAX. This is equal to higher than the Roth 401(k) total, TOTAL_ROTH. However, contributions and all earnings in a traditional 401(k) are taxable when they are withdrawn. After taxes, the value of your traditional 401(k) account would be V401K_TOTAL_AF_TAX.
Step 4: Finally, we need to account for possible differences in take home pay between the two options. This is for situations where the traditional account contributions might exceed the 2017 annual 402(g) limit of $18,000 if your age is less than 50 and $24,000 if your age is greater than 50. The amount over the limit if invested after taxes in a tax-deferred account, at a rate of RATE_OF_RETURN for YEARS_UNTIL_RETIREMENT years, could be worth TOTAL_TAXABLE at retirement, after earnings are taxed.Based on your inputs there is no difference in take home pay, so this additional calculation is not required.
traditional | Non-Tax-Deferred Account | Total Traditional & Non-Tax-Deferred Account | Roth | |
A. Total Contributions Until Retirement Age | TOTAL_TRADITIONAL_CONTRIBUTIONS | TOTAL_TAXABLE_CONTRIBUTIONS | TOTAL_BOTH_CONTRIBUTIONS | TOTAL_ROTH_CONTRIBUTIONS |
B. Current Taxes | $0 | TOTAL_TAXABLE_CURRENTTAX | TOTAL_BOTH_CURRENTTAX | TOTAL_ROTH_CURRENTTAX |
C. Total Contributions Plus Current Taxes (A+B) | TOTAL_TRADITIONAL_CONTRIBUTIONS | TOTAL_TAXABLE_COMBINED | TOTAL_BOTH_COMBINED | TOTAL_ROTH_COMBINED |
D. Hypothetical Value at Retirement Age | V401K_TOTAL_BF_TAX | TOTAL_TAXABLE_BF_TAX | TOTAL_BOTH_BF_TAX | TOTAL_ROTH |
E. Taxes at Retirement | - TOTAL_TRADITIONAL_RETIRETAX | - TOTAL_TAXABLE_RETIRETAX | - TOTAL_BOTH_RETIRETAX | - TOTAL_ROTH_RETIRETAX |
F. Hypothetical Value at Retirement After Taxes (D-E) | V401K_TOTAL_AF_TAX | TOTAL_TAXABLE | TOTAL_BOTH | TOTAL_ROTH |
Current age | CURRENT_AGE |
---|---|
Retirement age | AGE_OF_RETIREMENT |
Current tax bracket | CURRENT_TAX_RATE |
Retirement tax rate | RETIREMENT_TAX_RATE |
Current income | CURRENT_INCOME |
Current contribution type | CURRENT_CONTRIBUTION_TYPE |
Current annual contribution | ANNUAL_CONTRIBUTION |
Hypothetical rate of return | RATE_OF_RETURN |
Pay frequency | PAY_LABEL |