5 thoughts on “A Flexible Retirement Plan;Roth IRA”

  1. I think that if more people understood what tax deferred actually means, they’d all opt for a Roth IRA.

    Virtually every other retirement plan is tax deferred, meaning that while you’ll get a tax deduction this year, you will pay tax on the contributions and any earnings on it at withdrawal. What you’re really doing then is shifting the tax burden into the future under the assumption that your tax rate will be lower. With government deficits being what they are we shouldn’t be so quick to assume it.

    Roths will be tax free at retirement. No tax deduction now means no tax liabity later–it’s a true pure play. You know what you’re dealing with and don’t need to speculate.

    Tax fee (the Roth) vs. Tax deferred (everything else)–is there really a debate???

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