Roth retirement savings plans have long offered Americans a highly sought-after perk: the ability to create tax-free retirement income. While you might be familiar with Roth IRAs—a type of personal retirement savings plan—you might not be as familiar with their workplace counterpart: the Roth 401(k).
Both Roth 401(k)s and Roth IRAs let you save after-tax money and enjoy tax-free growth and withdrawals in retirement—but how do you decide which Roth is the best fit for your finances? If you have a Roth 401(k) at work, that plan will likely come out on top—especially if your employer offers a match. But both are powerful savings tools, and the best choice will come down to your income and plan access.
