Clear Money Guide
Guide and tool overview
See the questions covered here, then open the interactive utility.
Updated: August 4, 2026
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Use the 2-minute rule: compare your current marginal tax rate to your expected retirement rate. Higher now → usually Traditional. Lower now → usually Roth. Similar → split. Then set contributions in your plan portal.
Quick check: Roth or Traditional?
When Traditional usually wins
- Your current marginal rate is noticeably higher than your expected retirement rate (≈ 5+ points).
- You need near-term paycheck relief to hit savings targets or cash goals.
- You expect lower income later (career break, semi-retirement, geo move, or future conversions).
Action: Choose Traditional in your plan portal. Revisit annually or if your income outlook changes.
When Roth usually wins
- Your current marginal rate is lower than your expected retirement rate (≈ 5+ points).
- You’re early career, expect promotions/RSUs, or plan to retire late with strong income.
- You value tax-free withdrawals and simple future planning.
Action: Choose Roth in your plan portal. Revisit annually or after big income changes.
When a split is sensible
- Your current vs retirement rates look similar.
- You want flexibility across tax buckets later.
Action: Set a mix (e.g., 50/50) and keep the total savings rate unchanged. Revisit after raises or tax-law shifts.
Roth or Traditional is a bet on your future tax bracket.
If Roth vs. Traditional choices could change taxes, contribution strategy, or retirement income, compare the planning scope and advisor fee in annual dollars before you act.
Before you start, what actually happens. The form is run by Kapitalwise, our advisor-matching partner. Kapitalwise sends your details to advisers who pay for the introduction, so expect calls and texts. Clear Money Guide is paid when you submit the form, whether or not you ever hire anyone. The matching service is free to you and there is no obligation to hire anyone.
The Kapitalwise form opens here. You stay on this page.
What happens when you press the button
It requests contact details and phone verification by text. Nothing loads and nothing reaches Kapitalwise until you press the button. Submitting the form does not guarantee an adviser or a match.
Order of operations
- Grab employer match in your 401(k)/403(b).
- HSA (if eligible) — treat as “stealth IRA.”
- 401(k) to target (Traditional or Roth per your decision).
- IRA (Roth or Traditional; if income too high for Roth, consider backdoor mechanics carefully).
- Taxable brokerage once tax-advantaged space is maxed.
Note: Backdoor/mega-backdoor involve pro-rata and plan rules—validate specifics with your provider.
Edge cases & pitfalls
- Don’t use average rate—use marginal. The rate on your next dollar drives this decision.
- State taxes matter. Moving later can change the math.
- Backdoor Roth pro-rata. Pre-tax IRA balances can create surprise taxes—know the rule before moving money.
- RSUs/bonuses can spike rates. If lump-sum income hits this year, Traditional may win for the year.
Need a sanity check? Try a 2–3 hour second-opinion (NTE).
What to do next
- Use the quick check above and pick Traditional, Roth, or a split.
- Open your employer plan portal and change the contribution type (don’t reduce your total %).
- Set a calendar reminder to revisit in Q4 or after major income changes.
Education only; not tax or investment advice.