Read about Roth IRA and Traditional IRA before referring to this table for comparison.
| Feature | Roth IRA | Pre-Tax 401(k) |
| Qualified Distributions are tax-free | ✓ | |
| Contributions grow tax-deferred & tax-free UNTIL distribution | ✓ | ✓ |
| Contributions give up-front tax deduction (up to income limit for certain individuals) | ✓ | |
| Can Funded with… Post Tax = After Tax = Already Taxed Dollars | ✓ | ✓ |
| Minimum or Maximum Age to contribute? | ||
| Earned Income Phase Out’s? | ✓ | |
| Forced distributions starting at age 72 | ✓ | |
| Penalty-free after age 59.5 & >5 yr vintage account | ✓ | |
| Penalty-free after age 59.5 | ✓ | ✓ |
| $6,500 Max Contribution before age 50 | ✓ | ✓ |
| $1,000 Catch-Up Contribution | ✓ | ✓ |
| Distributions are considered taxable income? | ✓ | |
| Can convert to “Roth dollars” | ✓ |