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  • The employer match (for me) is a percentage. More precisely, they give me $0.50 for every $1 I contribute (50%). If I contribute pre-tax dollars to a traditional 401(k), the 50% applies to the pre-tax dollars. If i am contributing after-tax dollars to a Roth 401(k), the percentage is applied to that after-tax amount, thus the contributions are less for Roth, and they still get taxed later. Commented May 28, 2015 at 20:57
  • Anything I contribute over 5% of my income does not get matched. So it's not like I can increase the amount I contribute to increase the employer match Commented May 28, 2015 at 21:00
  • If the maximum amount you could get a match for is $5,000, then the match on $5,000 would be $2,500, whether the $5k is pre-tax or post-tax. The match is always pre-tax, so it's the same regardless. The percentage is 5% of your gross, even in a Roth account. Commented May 28, 2015 at 21:01
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    I see, you think that if you choose to contribute $100 to your Roth, and your taxes amount to 25%, that your Roth account will contain +$75. But that's not how it works. The Roth account will contain +$100. But your gross pay will have been reduced by around $133 (the amount of gross needed to be $100 net). Commented May 28, 2015 at 21:10
  • 1
    @briantist: No, what you are describing is exactly what wired_in's been saying, if you read it carefully. He said if he contributes $3000 to Roth 401k, it takes out $4000 pre-tax from his pay, and the match is still only 50% of $3000. And that is exactly the "disadvantage" that wired_in is describing. Commented May 29, 2015 at 8:56