Should I open a Roth IRA?

These retirement investment vehicles, established in 1997, have become immensely popular, both as an alternative to 401(k)s and as a supplement to existing retirement funds. You put money into the account (up to $6,000 a year, or $7,000 if you’re 50 or older) and invest it yourself. Unlike those for 401(k)s, Roth contributions are after-tax, but you won’t be taxed at all on your eventual earnings—which could be substantial, especially if you open your Roth early enough—so long as you don’t make withdrawals until you’ve reached the age of 59½. There are limits on who can contribute to a Roth, however: Your yearly modified adjusted gross income must be less than $137,000, if you’re single, or $203,000, if you’re married, for you to be eligible.