3 Reasons to Go With a Roth IRA
One of the biggest decisions you must make when saving for retirement is whether to go with a traditional or Roth IRA. You're not locked into one -- you can start with one and transition to the other over time, or contribute some money to both types of accounts. But most people favor one over the other.
Traditional IRAs are popular because the money you contribute reduces your taxable income today, though you have to pay taxes on your distributions in retirement. But there are times when Roth IRAs -- which don't reduce your taxable income today, but then grow tax-free afterward -- are the better option. Here are three scenarios where a Roth IRA makes more sense.
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Source Fool.com
