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xxxITthrowaway OP t1_iyejq1w wrote

Reply to comment by Rave-Unicorn-Votive in Weighing my options: maxing 401k via annual bonus vs spread out over the year? by xxxITthrowaway

These are good thoughts, thank you. The bonus is actually part of my TC so I'm ok with this becoming the new norm (if things go well, this'll be my last job before I retire early). I've been maxing my 401k for a decade so I'm used to the old paycheck amount and I've got plenty of emergency savings in case things go sideways (they went VERY sideways earlier this year and I used <10% of my e-fund).

And I like the idea of 401k just being 'done' for the year - hence why I'm asking to see if I'm missing anything glaring.

Thanks!

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Rave-Unicorn-Votive t1_iyen591 wrote

> And I like the idea of 401k just being 'done' for the year

It's 99% psychologically and 1% financially advantageous to be "done" early…it sure is fun. :-)

With this additional info, if I were in your shoes, I'd use the bonus to max early without a second thought. My bonus was a bonus bonus (one-off) so I'll most likely go back to spread out next year and the only drawback that's even crossed my mind is that I need to remember my paychecks will be lower in January.

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