Tax-Advantaged Accounts Cheat Sheet

Contribution Priority Framework

For most people, the optimal order of contributions is:

1. 401(k) up to Employer Match: Contribute enough to get the full employer match. This is an instant, guaranteed return on your money (often 50-100%). Don’t leave free money on the table.
2. Max out your HSA: If you have a High-Deductible Health Plan (HDHP), the HSA is the most powerful investment account due to its triple tax advantage.
3. Max out your Roth IRA: If you are under the income limit, a Roth IRA offers incredible flexibility and tax-free withdrawals in retirement.
4. Max out your 401(k): After the above, go back and contribute the maximum amount to your 401(k).
5. Taxable Brokerage Account: Only after all tax-advantaged options are exhausted should you invest in a standard taxable account.

Account Comparison (2024-2025 Limits)

Account	2025 Contribution Limit	Tax on Contributions	Tax on Withdrawals	Key Feature
401(k) / 403(b)	$23,000 (+$7,500 catch-up if 50+)	Pre-Tax	Taxed as Income	Often includes an employer match.
Roth 401(k)	$23,000 (shared with Trad 401k)	Post-Tax	Tax-Free	Tax-free growth, no income limits.
Traditional IRA	$7,000 (+$1,000 catch-up if 50+)	Deductible*	Taxed as Income	*Deductibility depends on income.
Roth IRA	$7,000 (shared with Trad IRA)	Post-Tax	Tax-Free	Contributions can be withdrawn anytime. Subject to income limits.
HSA	$4,300 (Self) /$8,550 (Family)	Pre-Tax	Tax-Free**	**For qualified medical expenses. The ultimate retirement account.