3 Reasons to Go With a Traditional IRA
When planning for retirement, every decision can have serious consequences, including the type of IRA you contribute to. Roth IRAs get a lot of attention because you can make tax-free withdrawals in retirement, but these accounts aren't a good fit for everyone. Here are three reasons to consider a traditional IRA instead.
Your goal in choosing between a traditional and Roth IRA is to pay the least in taxes. Roth IRAs make sense if you believe you're in a lower or the same tax bracket today as you will be in retirement. You pay taxes on your initial contributions, and then all your earnings are tax-free -- assuming you wait until you're 59 1/2 or older and have had the account for at least five years before you begin making withdrawals.
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Source Fool.com
