Do you know whether these Roth accounts will also be available within 457
Deferred
Compensation plans for government employees?

Karen

beliavsky[at]aol.com wrote:

- quote -

Here is the beginning of the article.

New Roth 401(k) Plans
Target High-Income Earners

By JANE J. KIM
Staff Reporter of THE WALL STREET JOURNAL
March 30, 2005; Page D2

"Individuals who make too much money to contribute to a Roth individual
retirement account may get a new opportunity to do so next year.

Earlier this month the Treasury Department and the Internal Revenue
Service released proposed regulations that provide guidance on how
employers can add Roth 401(k) accounts, created as part of the 2001 tax
law, to their plans starting January 2006. The new accounts will
combine features of traditional Roth IRAs with those of 401(k)s.

As with Roth IRAs, individuals pay income taxes on contributions
upfront but can withdraw those contributions and earnings tax-free
after age 59½, provided they have held the account for at least five
years. In contrast, contributions to a 401(k) are made with pretax
dollars, which immediately reduces their taxable income, and
withdrawals are later taxed as ordinary income."