How the Tax Code Shapes Your Retirement Savings

Lucas and Luna examine how the tax code influences retirement savings decisions, focusing on the trade-offs between traditional 401(k)s and Roth accounts. They break down the math of tax deferral versus tax-free withdrawals, using a concrete example of a median-income worker saving over 30 years. The episode also explores how employer matching and the SECURE Act 2.0's provisions—like the new Roth catch-up rule starting in 2026—change the calculus. Listeners will learn why the right choice depends on their marginal tax rate now versus in retirement, and how recent policy shifts are pushing more savers toward Roth accounts. This isn't generic advice; it's a specific look at the incentives baked into the code. #RetirementSavings #TaxCode #401k #RothIRA #SECUREAct2 #TaxDeferral #MarginalTaxRate #EmployerMatch #CatchUpContributions #RothCatchUp #MedicareSurtax #NetInvestmentIncomeTax #TaxPlanning #FiduciaryRule #Economics #TaxPolicy #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo