Financial planners used to discuss a "three-legged stool" when discussing retirement savings. The legs were the foundation of retirement- pension, social security and your savings.  We all know now that pensions and social security will be big question marks. Traditonal retirement is changing and our savings will really be the foundation now.   That savings should be a 401k (or employer plan) and an IRA.  Use both!

Suze Orman explains.

PAIR YOUR 401(k) WITH A ROTH IRA: While it is hard to beat the company match on a 401(k), I don't think your 401(k) should be your only retirement account. If you are eligible to invest in a Roth IRA, it is a perfect companion to a plan with a match.

Let's review the Roth rules: If you are single and have adjusted gross income (AGI) under $110,000 or you are married and file a joint return with AGI below $160,000, you are eligible to invest in a Roth.

The maximum contribution this year is $4,000, or $5,000 if you are at least 50 years old.