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currently our company does not have a 401(k) plan (we tend to start one after this april 15 tax season). Last year I opened a Roth IRA. I received the status of this Roth IRA and turns out the return was not so great. Contribution of 2,000: gains of only $20 and minus setup charge of $25. Net $1,995 for the tax season of 1997. My question is this: had i opened a Traditional IRA I would have been able to get 2,000 in deductions (maybe $200 deduction) so wouldnt have been better to open a Traditional IRA get the deduction and since there really no gains. I feel not only did i not keep my money i LOST money. Maybe in the long run a Roth works but for now it sucks. It's it better to wait to contribute to the 401 and not even bother with Roth and traditional for the 1998 tax?
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