If I qualify to contribute to both a Trad IRA and Roth IRA, which one should I save in?
If you qualify for Roth IRA contributions, you should consider it because having a mix of both pre-tax and Roth contributions can help create additional flexibility in retirement to respond to what is a great unknown – future tax rates. For people who expect income in retirement as high or higher than the current level, younger people who expect steady income growth over their careers, or others who feel that their tax rate in retirement will be higher than they are today, Roth IRA contributions may again be the better choice. But if you believe that your tax rates will be lower in retirement than they are now, you may want to prioritize pre-tax vehicles like the Traditional IRA. Answer a few questions to find out which one might be right for you.
