If you’re still in limbo with a 401(k) or other type of rollover, never fear—we can help you. One the first decisions to make is whether to use a Roth or Traditional account. Sarah Michaelson, Betterment’s manager of customer success, breaks down the ins and outs of each kind of IRA.

With Traditional IRAs, you can get deductions now but with Roth IRAs, you get tax free withdrawals later. Thus if you want to minimize your taxes, the best choice for you may depend on your current income tax rate, your future projected income tax rate and possibly other factors. Either way, generally contributing to either IRA is usually beneficial for you. If you already have an IRA, check out out blog post on how to get more from your account.
To get more specific information about your personal situation, consider talking to a qualified tax professional or check out IRS Publication 590.