ace_deuceee t1_ja8jeku wrote on February 27, 2023 at 5:15 PM

A few points to support investing on both. 401k's often have a company match (free money), Roth IRA's are very flexible and grow tax free, both are tax advantaged and good choices. It's good to have a mix of pretax and Roth money, that will usually give the most efficient tax savings in retirement. Depending on your current salary and desired lifestyle in retirement, usually maxing a Roth IRA isn't enough to retire comfortably.

With all that, the flowchart says to get the 401k match first, then max Roth IRA, then increase 401k to meet retirement contribution goal (HSA also gets mixed in there if you have access to one).

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MGSV1989 OP t1_ja8k4l9 wrote on February 27, 2023 at 5:19 PM

My company matches at 6% and just opened an HSA. I have that match right now, so I guess the next logical step would be to max out a Roth IRA.