<prompt> Human: So during a recent discussion with a friend, this tax calculator came up. I currently make about 106k per year, and contribute 5 to my 401k, taking 3 exemptions. According to this calculator, if I increased my 401k contribution to 10, Id increase my take-home pay by about 1500 per year.Im wondering if theres a catch here. My friend was saying this basically lowers my overall tax burden, but I wanted to get some second opinions here. Would I really walk away with more money overall if I increase my contribution rate?  <response>: It wont increase your take-home on paychecks, since you dont get the retirement plan contributions in your paychecks, but your contributions take-home will be more, because your gross tax will be more. So it depends by what you mean by walk away with more money. 