Hey Everyone,
Just looking for some reasoning and maybe math/logic behind an order of operations question. I’m a government employee with access to both a 457 and a 401k, as well as IRAs. I have maxed out my 457 plan (traditional) and am now looking to fill up other buckets. I believe the order of operations post actually indicates filling up your IRA prior to your 457/401k. Why is that, especially if I get penalty tax free access to my 457 prior to 59 1/2?
Also, now that I’m maxed out on a 457, what would be all of the merits to each? If I contribute to a Roth IRA, then all have access to all of my contributions whenever I would like. If I contribute to a 401k, then I could start a conversion ladder 5 years prior to my 457 funds running out in retirement, correct?
Age 29 yo
Income ~73k
Invested assets ~ 70k
Pension available at 52 yo
Planned fire date at 38ish
If you need any additional information, please feel free to ask.