Comparing Traditional and Roth Retirement Savings

Essential Activity 7
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20 MIN(S)

Following the video (i.e. Essential Activity #4), use the Voya calculator to compare traditional and Roth retirement savings under different assumptions. Have students change the current and retirement tax rates and examine how the results change. Ask: “Why might someone prefer paying taxes on contributions now rather than on withdrawals in retirement?” Emphasize that the choice depends on individual circumstances.

Resources

Voya — Traditional vs. Roth IRA Calculator