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<<I came up with different numbers than you did. In fact, my numbers indicate that the Roth IRA is always better than a deductible IRA (as long as your tax rate remains the same).>>

You came up with the numbers I was too lazy to calculate.
I said that if you can pony up the full $2,000 for the Roth IRA, you would be better off than putting $2,000 in a traditional IRA and investing the $660 difference. Your numbers support that statement (even assuming the taxable account didn't pay cap. gain taxes until the end). (Note: I think you used 9 and 19 vs 10 and 20 but you were consistent).

My point was that if someone only had $1,000 (after-tax) to put into a Roth-IRA. The result would be identical to putting $1,500 (before taxes) in an IRA. The jist of my complaint was that some writers don't explain this, and I question whether they took the time to understand it themselves (which I believe they didn't) or if they omit a complete discussion of it because it would too difficult for "us" to understand. The author of the article I referenced in MF MAG (Nov.97) did a great job in about two pages.

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