Roth 401(k) Vs Traditional 401(k): Investing Pre-Tax Or After-Tax


Which is better, a Roth or traditional 401(k)? Kristin McKenna, Senior Contributor to Forbes.com, lists out the differences in this article:

“Investors make traditional 401(k) contributions before tax while Roth savings occur after tax. Which is best for you will depend on your current/future tax situation, asset mix, and cash flows. For individuals in the upper end of the tax brackets, paying tax now on retirement savings may not make sense.”