I'm trying to get a hold of our finances.
Dh has an optoin of either a traditional or Roth 401k at work, and we both have the option of Tradtional vs Roth IRA for earned income/spousal income contributions outside of work.
Is there a way (ie, easy formula that I can use) to tell which is better for us? I thought roth's were the hands down winner, but this site disagrees:
I expect that our income tax rate *will* be lower in retirement (as we won't be working, right?)
Texmati-- Knitter, Hindu, vegetarian, WOHM. Wife to superdad and mom to DS 24 months, and DD 8 months! .
Honestly, there are arguments both ways.
In our household we're split. DH takes advantage of his 401(k) program at work. I don't have retirement programs available through my employer since I only work part time, and I'm choosing to save in a ROTH IRA. So we have both pre-tax and post-tax money going into retirement savings vehicles. Hopefully it will even out in the end?
I'm an unintentional weasel feeder and I suck at proofreading.