Want the Best of Both Worlds? Try This Investing Strategy
For tax year 2023, the maximum contribution to a 401(k) is $22,500 ($30,000 if you're 50 or older). For IRAs -- both Roth and traditional combined -- the maximum is $6,500 ($7,500 if you're 50 or older). A 401(k) is an employer-sponsored retirement account that lets you save and invest a portion of your paycheck pre-taxes.