ROTHs seem to be highly touted
Whenever I read a retirement article, there seems to be strong leaning toward ROTH plans rather than 401k or 403b if those plans offer no employer matching.
I just read, also, that ROTHs allow for penalty free withdrawals if you lose your job or some other urgency.
The 401k style plans would require big penalties.
So am I getting this right? ROTHs are the way to go?
I like the idea of a retirement account that can serve as an emergency fund as well. With that, I would feel better about contributing more aggressively instead of keeping it back in a regular bank account for big emergencies.
You can only contribute $5,000 a year. That's one downside.