the regular IRA ultimately sticks you with a tax bill for those profits (plus your initial contributions). The Roth doesn'tBut let me confuse you more. (Something I learned recently)...The Roth and the Traditional are really exactly the same, no matter how much Gains you have...Suppose you have $2000 (pre-tax) to invest.TraditionalInitial = $2000Balance after 20 years (assuming you double money every 5 years) = $32000Withdrawal Amount (assuming 28% tax rate) = $23,040RothFirst, tax man taxes contribution, soInitial = 28% of $2000 = $1440Balance after 20 years = $23,040Pretty neat, eh?Anyway, the Roth is better is you have the money to contribute $2000 (after-tax). Because both have a maximum of $2000, you can do better with $2000 initially in the Roth than $2000 initially in a Traditional.Hope that little bit of Trivia was fun for ya.the hendrys
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