Roth vs. Traditional IRA: How Each Is Taxed and Which to Pick

A Roth IRA and a traditional IRA are both retirement accounts, but they handle taxes differently. A traditional IRA gives you a tax deduction today and you pay taxes on withdrawals in retirement. A Roth IRA uses money you have already paid taxes on, so qualified withdrawals in retirement are completely tax-free. In this episode, Ryan uses clean numbers to show exactly how each works and frames the decision around one key question: do you expect to be in a higher or lower tax bracket in retirement?This is one of the most important financial decisions you will make as a saver, and getting it right depends entirely on your personal tax situation. Ryan and Aaron break it down clearly so you leave with a framework, not confusion. This is education, not personal advice; consult a tax professional before deciding which account type to fund.Find "Your Fiscal Physical" the book on AmazonIf you have suggestions or feedback, please email us at: [email protected], as always, Stay the Course!