Key takeaways
- Traditional: possible deduction today, taxable withdrawals in retirement (with rules).
- Roth: no deduction today, qualified withdrawals tax-free.
- Income limits, backdoor methods, and 401(k) match are separate decisions. IRS.gov has the current thresholds.
The internet turns IRA choice into a personality test. It is a timing choice. If you take a deduction now, the government wants tax later (traditional). If you pay tax now, qualified Roth withdrawals are designed to be tax-free. Which is better depends on today’s bracket versus a guess about tomorrow’s, plus whether you even qualify to contribute directly.
Contribution limits and phaseouts change. This is education, not a Form 8606 walkthrough.
