Two types of tax benefits. Which one works to your advantage?
Thinking about opening an IRA at DATCU? Smart move. Now you have another decision to make. A Traditional IRA allows most Texans to take an income tax deduction every year they make a contribution. But then you have to pay taxes on withdrawals. Roth IRA contributions are made with post-tax dollars, but your money grows tax free and you pay no taxes when you start withdrawing funds. Given your income level and expected tax status, see which IRA might best serve you.