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Thanks for the good comments!

Submitted by Philip Brewer on October 27, 2007 - 17:33.

As Nora points out, you still get the tax deferral with a 401(k) contribution, even if the match is poor. If there were no match, I'd put the 401(k) roughly equal with the Roth IRA, depending on your tax situation. It's not too hard to figure out what you'd save in taxes by putting the money in the 401(k), so do a quick calculation and see.

Also, remember that many people who don't plan to stay in a job for 4 years nevertheless find themselves there after all. I wouldn't completely discount the match, unless your plans to leave are quite definite

@FlatGreg--thanks much for the observation on withdrawing the original contribution to a Roth. That makes it a great place to put money for any kind of long-term goal, not just retirement.

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