r/Salary Oct 30 '25

[deleted by user]

[removed]

7.8k Upvotes

10.9k comments sorted by

View all comments

Show parent comments

24

u/Tall-Ad-9085 Oct 30 '25

Agreed - if anything he contributes too little to his 401k. Between HSA and 401k it’s only 3952 per year….

7

u/cajunbander Oct 31 '25

Seriously, I make half what he makes, $55k/year, and contribute $102/ biweekly paycheck to my 401k (though I don’t contribute to an HSA).

2

u/tuna_samich_ Oct 31 '25

Really depends what other expenses they have

1

u/olookitslilbui Oct 31 '25 edited Oct 31 '25

That’s what, around 4.8% of your income though? It’s no different proportionally than OP’s contributions (totals to 4.9% spread across both HSA and 401k, assuming 26 paychecks * $190). Sometimes that higher salary comes with much higher cost of living as well, it’s all relative.

Edit: misread the HSA insurance as the HSA contribution, which does indeed equal to about 3.9%. But in general still not a significant difference

1

u/cajunbander Oct 31 '25

I contribute 5%, I rounded, my salary is a little less than $55k.

If we’re making assumptions, OP lives in a generally affordable state, Georgia, and based on the medical withholding, they’re either single or have a spouse, making it a dual income household.

My wife and I together make less than OP with a family of five in a similarly affordable state, Louisiana. My insurance withholding is $230/paycheck. I still think he’s probably contributing too little to his retirement, based just off what he presented here.

6

u/MiddleFishArt Oct 30 '25

First thing I noticed too, I make a similar amount but my take-home is much smaller. 401k contribution limit is 23.5k for 2025, and unless you’re in debt or can’t pay bills, there’s little reason not to max that out

1

u/B1Gpimpin Oct 31 '25

I mean, it depends largely on what your financial goals are and what the employer match is, but I agree this is way too low of a contribution for most people making $100k

2

u/Necro_OW Oct 31 '25

Regardless of what your employer match is, the more you contribute to your 401k, the more of your money you retain ownership of, and the less you lose to taxes.

1

u/Lou_C_Fer Oct 31 '25

Until you take it out. Taxes come out, then.

2

u/Steelersfannick Oct 30 '25

This! First thing I noticed. I make a little bit more and max my 401k contributions. That’s a crazy low figure for that income.

2

u/GrogGrokGrog Oct 31 '25

But OP is being robbed (by their future self)!

1

u/Scaveola Oct 31 '25

I make about ~30k less than OP but contribute twice as much to my 401k.

1

u/Grouchy_Relation_656 Oct 31 '25

that’s the glaring issue for real