Kiplinger

The Right Retirement Plan: Do I Choose a Traditional or Roth 401(k)?

My friend Abby recently finished her graduate degree and just started a new job as a business analyst. After reviewing her company’s employee benefits package, she called to ask two specific questions: What is the difference between a traditional and Roth 401(k) plan? And which one is best for her?

As 2021 graduates begin to enter the workforce, many others change jobs, and more and more companies add Roth options to their existing 401(k) plans, millions of Americans are faced with these kinds of decisions. Most people realize they need to contribute to a retirement plan; and for many, this account and their home will be their primary

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