<prompt> Human: Ive been doing some research but Im hoping to get some clarity here. Im 30 years old and make about 55k. I currently live in Texas, which does not have a state income tax. I plan on eventually moving back home to Oklahoma where my family lives. Since i currently do not have a state income tax, should i put all of my 401k into roth? My thought process is that I would avoid paying state income tax when Im retired in Oklahoma and withdrawing money from my 401k. Or should I invest in a traditional 401k because Im probably in a higher tax bracket now than when I retire? Any help is greatly appreciated.Thanks for the advice guys. Info I should have mentioned: For my work 401k, if I put in 6, my work matches 4.5. My work 401k lets us put in any combination into either the Traditional or Roth 401k. Currently, I have been putting 3 into Traditional and 3 into Roth.  <response>: Youll be paying 25 tax on your Roth contributions. If you contribute to a 401k youll pay no tax now and something less than 25 in retirement. For example lets say your retirement income is 40,000. Including state tax your effective tax rate on that income would be about 13.3. Whats even better though is if you have some income from your Roth to lower your earned income. Lets say you keep the same 40,000 income in retirement, but 10,000 of that is income from your Roth, which isnt taxed. Now for tax purposes your income is only 30,000, and your effective tax on that 30,000 is only about 11. If it were me I would try and do both. Open a Roth IRA and put as much as you can in that. Then contribute to a 401k at work. 