Roth IRA vs. Traditional IRA

The two main types of IRAs that can help you save for retirement are Traditional and Roth.

What's the same

• Contribution limits – $5,500 (age 49 and under); $6,500 age 50 and older

• Contribution deadline – Tuesday, April 17, 2018 (for the 2017 tax year)

• Minimum investments – No minimum to open a Fidelity IRA

• Fees – No setup or maintenance fees; no transaction fees for most Fidelity mutual funds

• Note: A Rollover IRA is a Traditional IRA often used for rollovers from an old workplace plan, such as a 401(k).

Whats Different

Tax Benefits

Roth IRA: Tax-free growth and tax-free qualified withdrawals.

Traditional IRA: Tax-deferred growth and tax-deductible contributions.

Age requirements

Roth IRA: Contribute at any age.

Traditional IRA: Contribute until you're 70½.

Income requirements

Roth IRA:

Traditional IRA: