1. Once you’ve hit your 90 working day milestone, keep an eye on your inbox for your official 401(k) enrollment email from Charles Schwab.
2. Once received, just hop over to the Schwab website to create your account, set your contribution preferences, and name your beneficiary.
3. You’ll be able to choose your deferral rate (pre-tax or Roth post-tax) as a percentage of your pay — simple and flexible, just how we like it.

You have the choice between a Traditional 401(k) and a Roth 401(k).

The basic difference between a traditional and a Roth 401(k) is when you pay the taxes. With a traditional 401(k), you make contributions with pre-tax dollars, so you get a tax break up front, helping to lower your current income tax bill. Your money—both contributions and earnings—grows tax-deferred until you withdraw it. At that time, withdrawals are considered to be ordinary income and you have to pay Uncle Sam his due at your current tax rate; there may be state taxes as well. (With certain exceptions, you’ll also pay a 10 percent penalty if you’re under 59½.)

With a Roth 401(k), it’s basically the reverse. You make your contributions with after-tax dollars, meaning there’s no upfront tax deduction. However, withdrawals of both contributions and earnings are tax-free at age 59½, as long as you’ve held the account for five years.

So it mostly comes down to deciding when it’s better for you to pay the taxes—now or later. And that depends a lot on your timeframe as well as what the future may look like.