Have you read the phrases “It’s excellent to place dollars in a 401(k) because you save taxes” or “Deferring taxes to retirement is good since you’ll be in a lower cash flow tax bracket when you retire?” If not, I would like to introduce you to 1 of the best prospective fallacies present in money planning right now: the way the 401(k) is effective. Let’s say you made $100,000 this calendar year. All through the 12 months, you contributed $10,000 toward your 401(k). This decreases your taxable profits to $90,000 in this year. If you shell out 24{9f99fe44fce1aa3c813d0a0ce4da2fbea8a5a58e9d85c4a2927dd8140cb676b5} in taxes on that $10,000, you theoretically save $2400 in taxes. Neglect…