Dmitriy Fomichenko, President, Sense Financial
@dfomichenko
Generally, the younger you are the more time you have to grow your Roth IRA tax fee - the most sense it would make to go with Roth IRA. However, there are other factors to be considered also, such as your income and tax bracket, etc.
Charles J. Stevens, Principal, evergreen financial, LLC
@CharlesStevens
I would as soon get medical advice from a non-doctor friend as I would get investment or tax advice from a non-financial professional. I wouldn't go to the doctor and tell him I had splitting headaches and ask for aspirin. What financial and tax experience does your friend have that qualifies him/her to make a valid, well thought out diagnosis of your situation? You've taken the best first step you can take by asking professionals for an opinion, but, without knowing your age, income, tax bracket and a thorough financial status, a specific answer to your query.
Working in this profession using "rule of thumb"s is a great way to get sued.
Dmitriy Fomichenko, President, Sense Financial
@dfomichenko
Generally, the younger you are the more beneficial will be Roth IRA (because you have more years for tax-free growth). But there are number of factors to consider in addition to that (the comprehensive answer is beyond this forum).
Also, consider investments that promise significant returns in a Roth, it would be much more beneficial comparing to a taxable account.
Larry McClanahan, Financial Advisor
@LarryMcClanahan
Income taxes should be the determining factor, not age. You'll want to make the choice based on (1) your present income tax bracket vs. anticipated bracket in future retirement, and (2) what other tax-deferred or tax-free resources you've already accumulated.
Generally speaking, you'd contribute to a Roth IRA if you think your tax bracket in retirement will be roughly equal to or higher than your current bracket. You'd contribute to a traditional IRA (and get the tax deduction now) if you think your tax bracket in retirement will be lower than it is today.
Hope that helps.
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