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Roth IRA or Traditional IRA or 401k, Which is Best?

Roth or Traditional IRA/401k Welcome everyone! In today’s video we are going to discuss the differences between a Roth IRA and a traditional IRA or 401k. We are going to go over the benefits of each, and determine the optimal strategy for saving and investing money for our retirement. What is an IRA? Individual retirement account that allows annual contributions up to 6,000, or 7,000 if over the age of 50. What is a ROTH IRA? a special tax advantaged retirement account that you can make contributions to post tax, but withdraw from tax-free. Any gains you make are all tax-free after 59.5 and as long as the account is at least 5 years old. If you withdraw prior to 59.5 or prior to the account being 5 years old, you could face a 10% penalty and pay income tax unless you meet a few specific circumstances. There are many circumstances, so if interested please check out the link below. What is a Traditional IRA? an individual retirement account that provides a tax advanta