What's the best kind of IRA for a 20-something?

IRAs, Starting Out
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3 weeks ago
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In my opinion the Roth IRA is the best kind for a 20-something if that individual qualifies for a Roth. The reason is simple: tax rates will probably be higher when a 20-year-old retires. Being able to access retirement savings without having to pay taxes will be a big advantage 40 years from now. One added point, there is no requirement to take an RMD (Required Minimum Distribution) from a Roth IRA at age 70 ½ like there is from a Traditional IRA, making the Roth a better estate planning tool.

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