John Mason, CFP®, discusses the differences between traditional (pre-tax) retirement savings and Roth retirement savings.
About the Episode:
• There are key differences between Roth and Traditional TSP.
• Traditional TSP contributions are made "pre-tax".
• Roth TSP contributions are made after taxes have been paid.
• The Traditional and Roth TSP grow tax-deferred.
• At distribution, the Traditional TSP is fully taxable while the Roth TSP is tax-free.