Traditional and Roth 401(k) plans are employer-sponsored retirement savings options. These plans are named after the provision of the U.S. Internal Revenue Code that created them. Both programs ...

Each type has its advantages and drawbacks. You might prefer a traditional 401 (k) if you're in a high tax bracket now and you expect your expenses to drop significantly in retirement. But if you ...

Traditional 401(k)s give you a tax break today, but require you to pay taxes on your withdrawals later. Roth 401(k)s don't have an upfront tax break, but allow for tax-free withdrawals in retirement.

The decision of whether to save for retirement through a Roth IRA or through a traditional IRA is a complex matter that can have significant financial implications in both the short term and the long ...

Legacy planning also shifts the calculus. Roth IRAs don't have Required Minimum Distributions during your lifetime, and heirs generally receive distributions free of income tax, though they must empty ...

Jane's Traditional and Roth IRAs prioritize stable income generation over capital appreciation. Learn more about the ...

Roth IRAs allow your money to grow tax-free and aren't subject to required minimum distributions (RMDs). Traditional IRAs are preferable when tax rates are lower in retirement than they were during ...

Many big home repairs can’t wait, but your retirement also needs protection. Learn if and when to use cash, a money‑market fund, a Roth IRA, or a 401(k) for home repairs.

Is it better to make after-tax Roth 401(k) contributions or save before-tax in a traditional 401(k)? The answer varies depending on the taxpayer. While individuals with higher incomes might not ...

401(k) and Roth 401(k) plans are two ways to save for retirement. In a traditional 401(k), your contributions are tax deferred, and taxes apply only when you begin making withdrawals in retirement. In ...