Forgetting about Taxes
Something we often don’t take into account is that all these retirement options offer a lot of flexibility. Sometimes retirement plans could push us into higher tax brackets, but taxable accounts can help return us to lower rates.
Want to enter retirement without troubling over taxes? Then a Roth IRA plan would fit you best. You’ll be putting money in after you’ve paid taxes and can later access it tax-free, as opposed to traditional IRAs or even 401(k) plans.
Bottom line is, when looking at your savings, not all the money will be staying in your pocket. Plan accordingly and save yourself a lot of confusion and stress down the line.
