Short answer: A Roth 401(k) contribution is made with after-tax money, and qualified withdrawals in retirement are tax-free. In Fidelity NetBenefits, Roth and pre-tax contributions generally appear in the same plan account, and you can tell them apart by looking at the “Sources” breakdown of your balance. Your pay stub should list Roth and pre-tax contributions on separate lines. Whether your plan offers a Roth option at all is your employer’s decision.
How Roth Contributions Show Up in Your Fidelity Account
- One account, separate sources. Roth and traditional money usually sit in one plan account. Open your balance details and look at Sources to see how much is Roth, pre-tax, employer match and any rollover money.
- On your pay stub. Roth and traditional contributions are normally listed on separate lines, which makes it easy to confirm the split you chose.
- How long it takes. After you switch, people commonly report that the change takes a couple of pay periods to appear. If the Roth source still does not show after a few pay cycles, ask your payroll or benefits team to confirm that the election was processed.
Roth 401(k) vs. Pre-Tax 401(k)
| Pre-tax 401(k) | Roth 401(k) | |
|---|---|---|
| Tax break | Now: lowers this year’s taxable income | Later: qualified withdrawals are tax-free |
| Income limit to contribute | None | None (unlike a Roth IRA) |
| 2026 contribution limit | $24,500 combined with Roth, plus catch-up | $24,500 combined with pre-tax, plus catch-up |
| Required minimum distributions | Yes, starting at 73 (75 if born in 1960 or later) | No RMDs from Roth accounts in employer plans starting in 2024 |
| Withdrawals | Taxed as income | Tax-free if the account is at least 5 years old and you are 59½ or older, disabled, or deceased |
The 2026 limit applies to your pre-tax and Roth deferrals together. Splitting between them does not raise the cap. See our contribution limits guide, including the 2027 outlook.
Which Is Better for You?
- Roth may fit if you expect a higher tax rate in retirement, you are early in your career, or you want tax diversification.
- Pre-tax may fit if you are in a high bracket now and expect a lower one later.
- Many people split. A mix of both gives you flexibility to manage taxes in retirement.
This is general information, not personalized advice. A tax professional can help you choose.
Roth Catch-Up Rule for Higher Earners (2026)
Starting in 2026, if you are 50 or older and your prior-year Social Security wages from the employer were more than $150,000, your catch-up contributions generally must be made as Roth. Your regular deferrals can still be pre-tax. If your plan has no Roth option, you could be blocked from making catch-up contributions until it adds one.
Roth Match and Roth Conversions Inside the Plan
- Roth employer match: If your plan allows it, you can choose to receive your match as Roth. It is taxable to you in the year it is contributed.
- In-plan Roth conversion: Some plans let you convert pre-tax money to Roth inside the plan. You owe income tax on the converted amount.
- Rolling a Roth 401(k) to a Roth IRA after you leave an employer is generally tax-free. See our rollover guide.
How to Switch to Roth Contributions
Log in to NetBenefits, open your workplace plan, and change your contribution to include a Roth percentage. Menu names vary by plan. Our step-by-step guide to changing your contribution shows the usual path.
Frequently Asked Questions
Does my employer match go into the Roth side?
Usually the match goes into a pre-tax account unless your plan offers a Roth match and you choose it.
Can I contribute to a Roth 401(k) if I earn too much for a Roth IRA?
Yes. A Roth 401(k) has no income limit.
Can I take Roth money out early?
Contributions and earnings come out proportionally in many plan withdrawals, so early withdrawals can be partly taxable. See our withdrawal rules guide.
Where do I see my Roth balance in NetBenefits?
Open your plan balance and look at the Sources breakdown.
UseFidelity.com is an independent site and is not affiliated with Fidelity Investments. This article is general information, not tax, legal or investment advice. Figures last checked 3 November 2026.
Sources
- IRS Notice 2025-67 (2026 retirement plan limits and Roth catch-up wage threshold)
- IRS guidance on designated Roth accounts and SECURE 2.0 changes (no RMDs for Roth accounts in employer plans from 2024)