Dual high earners, FI now, but ~10 years away from retirement because we won’t feel comfortable until our kid is through college. 529 is funded for them, and our state does not offer deductions on contributions to that. Plenty of funds in 401ks, but after maxing the HSA and the 401ks, everything is currently going into a post-tax brokerage. Employer does not offer mega-backdoor Roth conversions.
Looking for where I should consider putting excess funds.
Alternatives when employer doesn’t offer MBDR?
byu/PM_ME_UR_BGP_PREFIX infinancialindependence
Posted by PM_ME_UR_BGP_PREFIX
4 Comments
Taxable account.
Backdoor Roth IRA for both of you. Maxed 401K for both. Maxed family HSA. Rest goes in brokerage.
There is nothing magic happening. Each type of account has specific advantages and disadvantages. Having all types of these accounts gives max flexibility later in life for tax mitigation.
Follow the flowchart in the Wiki. Any deviation is based on personal preference.
If you itemize, you could consider a Donor Advised Fund. I’m also assuming you’re already maxing your Roth via the backdoor 👀