Subject: Re: OT - advice for my son
My daughter who is just a few years older than your son is in a similar situation. The above tax treatment suggestions are solid. My suggestions, free advice is worth that, keeping it simple,
- contribute enough to the 401K to get the full match.
- those contributions should just go 100% into whatever the lowest-fee SPY-equivalent fund choice he has.
- if his company has a Roth 401K - switch to that.

- When you have a 401K, my understanding of the tax rules is you CAN'T contribute to an IRA (either a traditional or a Roth). From when I was released mid-year a few years ago. (Check with AJ485 on the "new" Fool discussion board or someone else in Tax Strategy).

- so the remainder of the 10% target total (or whatever he can save off) goes to his taxable brokerage account.

FC