Re: Cold Feet - Investing for Retirement
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i was under the impression that if I am 22, I should plan on being in a higher tax bracket when I'm 60...which is why Roth IRA was better?
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yes, its wise to plan for the worst case.
Also, having a ROTH & 401k is tax diversification. Its smart to be prepared for both very high taxes and the (slim) possibility that our country eliminates income tax, or that yours is lower than now.
Also, do not put your short term downpayment money in your equity portfolio expecting it to gain 9%. Short term money should really be in short term bonds or a money market (ING Direct is fine).
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