By Carla Fried - 2012-06-13T21:21:02Z

A recent Bloomberg.com personal finance story,"The Retirement Savings Move Tax Pros Love," got an enthusiastic response from readers who are considering investing for retirement in a Roth 401(k). The story also generated many questions. We took some of those questions to retirement expert Barry Picker, a CPA and author of "Barry Picker's Guide to Retirement Distribution Planning." His answers below are guidelines and may not apply to everyone and every situation.

Q: Is there an income limit to be eligible to contribute to a Roth 401(k)?

A: There is no income limit.

Q: If my employer offers a Roth 401(k) and a traditional 401(k), will I have to choose between contributing to one or the other?

A: You can contribute to the traditional, the Roth, or both, as long as your total salary deferral does not exceed the maximum permitted.

Q: What is the maximum amount I can invest in a Roth 401(k) in 2012?

A: The maximum that can be contributed to 401(k)s in 2012 is $17,000, plus an extra $5,500 for individuals past age 50 as of the end of the year. The maximum ($17,000/$22,500) can be divided between the traditional 401(k) and Roth 401(k).

Q: Will my employer make a matching contribution to a Roth 401(k)?

A: If you contribute to a Roth 401(k), your employer can still match your contribution. However, the employers match will be paid into a traditional 401(k), not the Roth 401(k).

See the rest here:
Nine Questions on Investing for Retirement in a Roth 401(k)