My husband and I each have a base salary of $55k. I work overtime regularly and he earns commission on top of his base salary, so our income is close to equal.
Both of our jobs offer 401ks. My 401k plan is pretty good. It's through Schwab and includes a number of low expense ratio funds (I do 50/50 to VFIAX and VFFVX). My employer matches 6% and it's fully vested.
My husband's 401k plan sucks. No employer match. The provider is American Funds and their basic target date fund expense ratio is almost 1.5%.
Our goal is to contribute 18-20% of our income to retirement ($22-24k).
I'm on track to max out Roth IRAs for both of us ($12k). Given that my company's 401k is so much better than my husband's, I'm thinking he shouldn't contribute to his plan at all and I'll increase my 401k contributions to 12-15% to cover both of us. Does it make sense to do this, or should be both be contributing 6-7% to our respective 401k plans?
Submitted May 09, 2019 at 11:37AM by throwitallaway500 http://bit.ly/2PRXiwb
