I'm with Ima Saver.
There are so many plusses to a Roth it's hard to know where to begin.
But the key is to BEGIN one now asap! It's really a no-brainer. Your still young. Even if you only contributed $4000 now to your Roth and that was it. You'd still have quite the sizable pot when you turn 59!
Right now, the limited contribution is $4000/year. (That's roughly $333/mo. if you want to max it. With what you make a year, and being single, you shouldn't have much difficulty in socking away that kind of money. AND since you are interested in buying a home someday, there is a first-time homebuyer allowance built into it.
Read what Suze Orman has to say about Roths at Yahoo Finance.
Her advice has changed my life.
Her advice: "It's just plain nuts to not take advantage of a Roth IRA."
401Ks are just ok. And then - only if your employer is matching your contribution. 401Ks are only tax differed. That means Uncle Sam's gonna hit you with his best shot later when you want to take it out. The big difference between them is the Roth is TAX FREE upon withdrawl.
The future of taxes? Does anyone really believe that given the war, the trade deficit, social security and medicare running out etc. etc. ....that there's a chance congress will ever lower taxes? On the contrary. You can bet your bottom dollar taxes will not only go up... but these will look like the good ol days....!
The more you learn about the Roth IRA the more you will love it.
And when you marry someday, you and your spouse will be able to contribute a total of 8,000/year until 2008 when it goes up to $5000 apeice.
New Flash: The Roth IRA may only be available until 2010 when it's up for a revote before congress. That is why so many companies are hesitant to offer the Roth 401K to their employees. The future is uncertain.
I personally like Vanguard. They want $3000 to open a Roth Index Fund.
(I chose a REIT Index Fund, but wished I had started sooner!) And they only charge $10/year if your fund carries a balance of less than $5000.
My Advice: Start your Roth today! You won't regret it.
The Roth IRA: As Close to Perfect as You Can Get
A Suze Orman exclusive
http://biz.yahoo.com/pfg/e28socsec/art021.html