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Thanks TMFPixy.

All things being equal, then if your tax rate is the same at withdrawal as it is today, then neither beats the other.

That's the idea but if I can put the full contribution to either an IRA or a Roth, in the end I get more from the Roth because I won't owe taxes when I retire.

Sure, I pay the taxes up front, but I can still put in $2000 after tax dollars. Right? So what I'm putting in to the Roth is $2,857 of my pre-tax income but only $2000 before taxes can go into a regular IRA.

I'm taking $2,857 on my pre-tax income, paying the taxes, and putting the remain $2000 into my Roth to grow tax free and I owe no taxes when I retire.

Or I'm putting only $2000 of my pre-tax income into an IRA, and later paying taxes when I retire.

They both will accumulate at the same rate (all things being equal) and will have the same value when I retire but... in the end I take a 30% hit on my IRA.

Both accounts might have $200,000 in them but I'll have to pay taxes on the regular IRA. So my IRA would be worth $140,000 after taxes.

They could only be equal if I'm limited to putting $1400 of my post-tax income into a Roth. Or am I missing something??
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