Which IRA is right for me?

A Traditional IRA may be the right choice if your goal is a tax deduction right now or if you expect to pay taxes at a significantly lower rate in the future. Earnings for a traditional IRA grow tax-deferred until you withdraw them, and your contributions may be tax deductible. You can open and make contributions to a Traditional IRA if you (or your spouse, if you file a joint return) receive taxable compensation during the year and you’re not age 70½ by the end of the year.

A Roth IRA may be your best choice if you want a tax break in the future. A Roth IRA is more flexible than a Traditional IRA. Regular contributions can be withdrawn tax-free, without penalty, at any time.