🇺🇸 In the U.S., traditional 401(k) contributions are deducted pre-tax 💪 meaning that the contributions you make lower your taxable income. 📉If you're in the 33% tax bracket 📊 and you contribute $10,000 to your traditional 401(k), you'll owe $3,300 less income tax this year. 💰💡 The 401(k) employee contribution limit in 2020 is $19,500.