10. Benefits of traditional and Reth 401(k) plars Traditional 401(k) versus foth 401(k) Frances has decided to controute to a savings program 5he can open a traditional 401(k) or a Roth 401(k) and has decermined that she can alford a 514,400 contribution. Frances's salary is $106,500 per year, and she is in the 32 th tax bracket. If Frances decides to go with a tradtenal 401(k). her contribution amounk will be And the ameunt offset via a reduced tax bili wal be If instead, Frances decides to 00 with a Aoth 401(k), her contribution arpount will be And the amount ofivet via a reduced tax bili will be Assuming all the same facts, suppose that Frances decides to open both 401(k) olans, spiating what she can afford to contribute equally betineen both plank. Under this scenario, frances's contribution amount wil be And the amount ofiset vis a reduced tax bil wa be When Frances ratires, whuch plan's momits aill she be able to exclude from tasabie inceme