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Is my Roth 401(k) employer match taxed?

Traditionally, even if you contributed to a Roth 401(k), the employer match landed in a separate pre-tax bucket — meaning that match and its growth are taxed as ordinary income when withdrawn. SECURE 2.0 changed the rules to also permit employers to deposit the match directly as Roth, but only if the plan offers it and you elect it. If you choose a Roth match, that matched amount is treated as taxable income to you in the year it's contributed, so it shows up on your tax bill now — but then it and its growth come out tax-free in retirement. Many plans haven't adopted the Roth-match option yet. Check your plan documents to see whether your match is pre-tax or Roth, since it affects both your current taxes and your future tax-free balance. Either way, the match is worth capturing in full.

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