401k maximum contribution method

[emcee squared]

Originally Posted by rocafeller05

For all you people who do the maximum allowed 401k contributions...do you have to do the math every year at pay raise time to make sure you are not over(including company match)? Do they adjust automatically? Reason why Im asking is because my plan only lets you make changes to the 401k every quarter.

My company allows you to continue investing into your retirement account after you hit the personal limit, but it'll be taxable. This way you will still get the company match for all of your contributions.

[Lowexpectations]

If my plan only allowed changes to the contribution rate quarterly I'd complain to HR and other managers and encourage others to do the same. There really isn't a reason to be that restrictive

[SaucyAussie]

I can change mine every pay period (bi-weekly) so I tend to play around with it a little bit. I usually contribute less early in the year and catch up later in the year due to things like pay raise, bonus, SS max. Also, I get an extra pay check in December so I intend to increase it to 35% (company limit). Clawing and scratching to hit the max this year, but I just may do it.