Roths Worth Another Look

We've all been taught the importance of pretax savings growing tax-deferred in a traditional IRA or 401(k) plan. The idea is to pay the taxes after retirement, when you'll surely be in a lower tax bracket.

But maybe it's time to rethink that advice, especially if you're just beginning your retirement savings.

A Roth IRA after-tax contribution is starting to look more and more attractive, especially if you're in your 20s and have plenty of time to grow your money tax-free. And now that the newly passed Pension Protection Act has encouraged companies to offer an after-tax Roth 401(k) option, it's more likely that you'll be faced with the pretax or after-tax decision. ...