So happy to have found this forum. Trying to determine the best suggestion(s) for my DG's end of year situation/bonuses.
Her total compensation for 2017 will include a salary of $60,333 + $2,000 year end bonus + $7,500 year end bonus = $69,833. She has been deferring 9% to the company's 401K (with a 3% match). She has a bit of an unexpected $7,500 bonus coming at end of year as well as a $2,000 bonus for performance related work.
She would like to save more this month through the 401K with the bonuses coming in, and her 401K is a good Vanguard option which is great. The problem is that it might be a bit too late to change her 401K deferral options. She is paid twice per month and was not able to make any changes in time for the first half of December and is checking into if she can defer 100% of the last payroll, but she found out that the max she could defer is 75% and that the change would NOT go into effect until January.
What would be the best option(s) for her?