I'm sure this has been discussed here before, so feel free to point me in that direction.

I have a Roth, my wife has a TRAD, & I have a 401(k). We also have some money (currently 1-year's living expenses) in a savings account paying 1%. I'm torn between halting future contributions to my wife's TRAD IRA & opening a Roth for her vs simply putting that money (along with some of the other static money - my job is quite safe - she doesn't work) into investments (not savings, but securities) in a taxable account.

If I understand things correctly, we (or if I perish early, she) will be able to withdraw the principle of the Roth contributions at any time after the first five years. We expect to survive at least that long. So what would be the advantage, other than immediate liquitidy, of putting money into a non-deferred vehicle instead of a Roth?

Byron