Well our HR department sent out the form that allows us to modify our contribution percentage for the upcoming quarter. I went ahead and bumped up my percentage from 14% to 17.5%. This increase is a direct result of the planning I did in this post.

I’ll kind of be curious as to what this does to our disposable income. Obviously it will reduce it by 3.5%, but in the past anytime I made an increase to my savings rate I really did not notice it when it came to our money supply that is used to pay for our living expenses. I think I am finally getting to the tipping point where if I increase it anymore we will eventually start running out of money in our checking account, but hopefully this is not the case.

Another point to consider is that we are now saving 31.5% percent of our income before taxes, which I think is pretty descent accomplishment. I think I may look around at some of the other blogs out there and see if they have calculated anything like this before. Would be interesting to see how I compare.

[Tags]Roth 401k, 401k[/Tags]