I have a question, probably a stupid question to which I think i already know the answer:
I am able to max out my 401K and contribute another $2,000/Mo to savings. I make a bit too much to contribute to a traditional IRA. We already have good sized regular savings/investment accounts and we have both been putting $2K a year in a Roth for several years.
Would we be better off to fully fund the Roth at $6000/yr/each or put the money in a regular investment account? I'm 55 and may work another 3 years. Seems like increasing the Roth to the max is a better choice as there will be no taxes to pay on the income or distributions in retirement. Am I missing something?
Wish I'd have thought of this earlier. Thanks in advance
Randy
I am able to max out my 401K and contribute another $2,000/Mo to savings. I make a bit too much to contribute to a traditional IRA. We already have good sized regular savings/investment accounts and we have both been putting $2K a year in a Roth for several years.
Would we be better off to fully fund the Roth at $6000/yr/each or put the money in a regular investment account? I'm 55 and may work another 3 years. Seems like increasing the Roth to the max is a better choice as there will be no taxes to pay on the income or distributions in retirement. Am I missing something?
Wish I'd have thought of this earlier. Thanks in advance
Randy