Are contributions to a Roth 401(k) from an employer match pretax or after-tax?

I have had a Roth 401(k) for over 10 years through my employer. All my contributions have been after-tax. My employer matched my contributions until about nine years ago, due to the recession.

Now, I want to roll my Roth 401(k) over to a Roth IRA. However, I am told that the portion of my Roth 401(k) that was contributed by a match through my employer is considered pretax and must be rolled into a traditional IRA. Is this correct? If so, I will have $112,000 rolled into a Roth IRA and $6,000 into a traditional IRA. I thought all Roth earnings, including employer matched earnings, are non-taxable.

401(k), IRAs, Taxes
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2 weeks ago

The information you received was correct. If you choose ROTH 401k contribution those will be after tax.  But employer match or profit sharing contributions will be pre-tax.  So you will owe taxes when they are withdrawn and will need to roll them over to a Traditioanal IRA.

 

Here is more infomration on the differences between a ROTH 401k and a regular ROTH IRA.

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