A Roth IRA and a Tax Deferred investment plan are just two of many ways you can invest into for your retirement. If you wanted to contribute amounts greater than $5,000 a year, which of the two investment plans would you consider and why?
Answer
Answer:
Tax deferred plan (e.g. 401k) because it allows much higher annual contribution limits than Roth IRA.

Question

A Roth IRA and a Tax Deferred investment plan are just two of many ways you can invest into for your retirement. If you wanted to contribute amounts greater than $5,000 a year, which of the two investment plans would you consider and why?

Answer

Answer:

Tax deferred plan (e.g. 401k) because it allows much higher annual contribution limits than Roth IRA.

Revolt · Accepted Answer

Tax deferred plan (e.g. 401k) because it allows much higher annual contribution limits than Roth IRA.