+1 The savers credit on the Roth IRA is amazing. Basically you get a tax credit to put money into an account that will never pay taxes (assuming the laws aren't changed). The kicker is that if you have a low enough income for the full savers credit you probably aren't paying much in taxes anyway. Plus with a Roth you can withdraw principle whenever you want and earnings for qualified expenses like purchase of a home, education or healthcare.
the downside of this thinking is: savers credit is a nonrefundable credit, so if you're low enough to qualify (especially if you're getting other refundable credits; EITC etc.) your net tax bill is negative, this credit is irrelevant. (or am I calculating this wrong)?
