
Why “Lower Taxes Today” Can Become a Bigger Problem Later
From Abroad in America by Jimmy Miller
May 28, 2026 · 11 min
About this episode
This episode discusses why expats in America should consider a Roth 401(k) over a traditional 401(k) due to potential future tax implications.
Most people automatically choose the traditional 401(k) when they start working in America. For expats and foreign nationals, that may be a very expensive mistake. In this episode of Abroad in America, we break down why many expats working in the U.S. should strongly consider using a Roth 401(k) instead of a traditional tax-deferred retirement account. While traditional 401(k)s offer an upfront tax deduction, that short-term tax savings can create major tax problems later, especially for peop...
People in this episode
Host: Jimmy Miller
Topics covered
- retirement planning
- tax strategies
- expat finance
- 401(k) options
- Roth accounts
Keywords
- 401(k)
- Roth 401(k)
- expats
- tax deduction
- retirement accounts
- financial planning
- tax problems
Mentioned in this episode
Organizations: 401(k), Roth 401(k)
Places: America, U.S.
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- Why Your Tax Refund Could Be Costing You More as an Expat in America · April 9, 2026 · 10 min
- 5 Costly Tax Mistakes Expats Make in Their First 2 Years in the U.S. · March 18, 2026 · 8 min
- FATCA Explained: Form 8938 and Foreign Account Reporting for Expats · March 4, 2026 · 7 min
- What Totalization Agreements Do · February 17, 2026 · 9 min
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