From: Ike Groff

From: Ike Groff To: lesleyGron,"Cuti,Anthona Subject: RE: 401K vs 529 Question... Date: Mon, 02 Nov 2015 18:56:29 +0000 I do not think we are eligible for a Roth based on income factors Original Message From: Lesley Groff [mailto: Sent: Monday, November 02, 2015 1:55 PM To: Cuti, Anthony J Cc: Ike Groff Subject: Re: 401K vs 529 Question... great! thank you so much...I am not sure about traditional or Roth 401K...I am not sure the difference... On Nov 2, 2015, at 1:38 PM, Cuti, Anthony J wrote: > Lesley: > • Would the 401k be a traditional 401k or a Roth 401k? > • Typically, 529 plans are not tax deductible for federal purposes. However, the earnings will grow tax-deferred until the funds are distributed in the future. The funds in the 529 would need to be used for qualifying college expenses or could be subject to a 10% penalty upon withdrawal. > Your resident state of CT, will allow up to a $10,000 annual deduction for joint filers. You can contribute more but would need to consider potential gift tax issues if giving more than $14,000 per year per recipient. > If you contributed to a traditional 401k, you can put up to $18,000 for 2016, which you reduce your current year taxable income. > Thanks, > Anthony > • Anthony J. Cuti II, CPA > Direct Tel (973) 577-1616 > Email: • Original Message > From: Lesley Groff (mailto: > Sent: Monday, November 02, 2015 12:50 PM > To: Cuti, Anthony J > Cc: Ike Groff > Subject: 401K vs 529 Question... > • Hi Anthony...hoping I can ask you a quick question ....my employer and I are discussing either starting me up with a 401K (where he would match my contribution 100%) vs starting a 529 for my son...my boss thinks it may be more beneficial, tax wise on our part, if he were to start a 529, but he is not sure...might you know tax wise what is best for us? > Thanks, Lesley (and Ike) Groff ww**www**www**www************www**www**www*******www**www**www**www*** > The information in this email is confidential and may be legally privileged. It is intended EFTA00336482 solely for the addressee. Access to this email by anyone else is unauthorized. If you are not the intended recipient, any disclosure, copying, distribution or any action taken or omitted to be taken in reliance on it, is prohibited and may be unlawful. When addressed to our clients any opinions or advice contained in this email are subject to the terms and conditions expressed in the governing KPMG client engagement letter. 9t9t**WWW**WWW**WWW**WWW**WWW**WWW**WWW**WWW**WWW*******WWW**WWW**WWW**** This e-mail and any files transmitted with it are confidential and intended only for the person or entity to which it is addressed. If you are not the intended recipient, you are hereby notified that any dissemination, distribution or copying of this e-mail and any attachment(s) is strictly prohibited. If you have received this e-mail in error please immediately notify the sender at 203-302-7300 or by replying to this e-mail and delete the e- mail and any attachment(s) from your system. Nothing herein shall be construed as a financial promotion to any person or persons, or a solicitation or recommendation to buy or sell any security or other investment or to engage in any trading strategy. Information presented is from sources believed to be reliable, but is not guaranteed to be accurate or complete. This information should not be taken as an offer nor as a solicitation of an offer to buy or sell securities or other financial instruments. Email transmission cannot be guaranteed to be secure, timely or error free. Tourmaline Partners, LLC may review and store both incoming and outgoing messages. Use by other than the intended recipients is prohibited. EFTA00336483