Originally Posted by
baseball
If you do that, do you run the risk of shorting yourself B fund contributions?
I understand that if you max it all out by Oct 1, there may not be room under IRS rules to receive the company's B fund contributions in the fourth quarter.
As a technique, I only put in 7% from Jan to Sept, and then I take a look at it in October and see what needs to be done.
Just food for thought.....
The annual limit is $52,000 a year for contribution to a 401k ($53,000 for 2015). I'm an airbus FO that flys about 40 hours a month, so there is never a risk I will exceed it. Also, if you do, they have to pay it back to me. It happened in 2001 when I was a 727 Captain and exceeded the limit. (It was less back then)
Even my contributions PLUS the company was less than the IRS max. I had to do a post-tax contribution to max it out.
That's great though that you track it and contribute. Its probably one of the best and easiest investment vehicles we have access to.