Updated 5 months ago on . Most recent reply
Roth IRA vs Traditional
I have always been intrigued by trying to figure out what's the better investment, the Roth investment or traditional. When I first heard of Roth I put all my money there and have continued that strategy but as my investment knowledge has grown I have been curious on of this was the right approach.
As a young investor in my 20's it seemed like a no brainer. Invest my money and pay taxes now, watch it grow into a huge amount in the future and pay no taxes. Why would I want that money to grow into a large sum and pay taxes on all of that money in the future. Obviously it's more nuance than that but at 20 I had all the answers lol.
This video is by far the best I have seen to simplify the debate and really helped me understand what the right approach is for me based on where I am with income level right now. What I learned is that blindly filling my Roth accounts in peak income and tax bracket years isn't the right way for me to go.
If you have ever questioned the what's the difference and how do you figure out what's right for you I HIGHLY recommend watching this short video! Hope this helps the community.