Don’t give the government any more money than you have to! We know that choosing between a traditional or a Roth IRA can be confusing, with a number of variables. Here we talk you through it and show you how to calculate your tax rates so you can make the right decision for yourself. 

In this episode:

• This is a tax planning decision, meaning, how do I pay less in taxes? [1:00]

• How marginal rates work [3:00]

• Why tax rates can be confusing when looking IRAs [8:30]

• If tax rate is the same, there’s no difference in return in traditional versus Roth [11:00]

• Is it better to pay taxes now or later? Here’s a rule of thumb [13:00]

• Why moving to a different state adds a variable [14:30]

  
  Resources:

• Marginal Tax Rate Worksheet

• Roth or Traditional Calculations Worksheet

If you prefer to follow along on YouTube, watch here: