Which of the following statements regarding Roth 401(k)accounts is false?
A)Employees can make contributions to a Roth 401(k).
B)Employers can make contributions to Roth accounts on behalf of their employees.
C)Contributions to Roth 401(k)plans are not deductible.
D)Qualified distributions from Roth 401(k)plans are not taxable.

Question

Quizplus · Accepted Answer

Employers can make matching contributions to the employee's 401(k) plan, but these contributions go into a traditional 401(k) account, not a Roth 401(k). Roth 401(k) contributions are made on an after-tax basis by the employee, and while withdrawals are tax-free in retirement, employer contributions and their tax treatment follow the rules of traditional 401(k) plans.

Which of the Following Statements Regarding Roth 401(k)accounts Is False