'I Don't Care What Tax Bracket You're In' – Suze Orman Insists You'd Be 'Crazy' To Have Anything Other Than a Roth Retirement Account

If there's one thing Suze Orman doesn't do, it's sugarcoat her advice. Whether she's calling out your latte habit or telling you to think twice about lending money to your family, the financial expert is never shy about laying down the law. This time, she's set her sights on your retirement strategy and her message is loud and clear: Forget traditional retirement accounts.

"I don't care what tax bracket you're in," Orman told CNBC in an October 2024 report. "You have to be crazy to do anything other than a Roth retirement account."

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And she means it. The usual debate about whether to go Roth or traditional often revolves around tax brackets. The idea is that a Roth IRA makes sense if you're in a lower tax bracket now – in the early stages of your career – because you pay taxes up front while they're relatively low. Conversely, high earners are often advised to stick with traditional accounts for the immediate tax deduction.

But Orman isn't buying it. She believes Roth accounts are the best move for almost everyone, regardless of income. Why? Because they offer something traditional accounts don't: tax-free growth and tax-free withdrawals in retirement. That means once you've paid taxes on the money you contribute, it's smooth sailing for the rest of your life.

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Why Suze Is All-In on Roth

This isn't Orman's first time waving the Roth flag. In her book The Ultimate Retirement Guide For 50 Plus, she makes it clear that she's team Roth all the way: "In my opinion, you should absolutely be putting every single cent into the Roth version of your retirement account."

One of her favorite features of a Roth IRA is its flexibility. Unlike traditional retirement accounts, Roth contributions (not earnings) can be withdrawn penalty-free at any time. Orman often points to this as a safety net for those needing access to cash before retirement.

Roth IRAs also sidestep one of the biggest headaches of traditional accounts: required minimum distributions (RMDs). With a Roth, you're not forced to withdraw money at a certain age, allowing your savings to grow tax-free for as long as you'd like.

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Why It Matters for You

Orman's argument boils down to this: future-proof your finances. By paying taxes up front with a Roth, you protect yourself against potential tax hikes. Plus, if you expect to be in a higher tax bracket in retirement (thanks to investment growth or other income streams), the Roth ensures you're not hit with a bigger tax bill when you start withdrawing.

Still, Orman's stance isn't without pushback. Some financial experts argue that choosing between Roth and traditional accounts depends on your income and tax bracket. But for Orman, the benefits of a Roth outweigh the complexities of trying to time the tax code.

So, whether you're a college grad just starting your career or a seasoned professional pulling in six figures, Suze Orman's advice is clear: "You'd be crazy" not to consider a Roth IRA.

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It's about building a financial foundation that doesn't just work today but for decades to come. And really, who doesn't want that kind of security?

Before funneling every spare dollar into a Roth IRA, consider talking it over with a financial advisor. Sure, Orman's advice is bold – and likely solid for many people – but there's no one-size-fits-all strategy for your money. A pro can help you weigh your current tax situation, future income projections and any other financial quirks to ensure a Roth is the best move for you.

While Orman's right about a lot, one-size-fits-all advice is like a suit off the rack: It might fit, but a little tailoring never hurts.

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