<prompt> Human: First, I want to say that I have found much of the advice in this subreddit very helpful. Thank you to all of those who respond to this kind of stuff. I finally feel like I am getting a handle on my money.So my wife and I are 30 years old and have been graduate students for what our family and friends assure us is a ridiculous amount of time. As of now we both have a real jobs combined 101k a year and have questions regarding setting up retirement accounts. We both work at a state university in Texas, so we automatically contribute to the Teacher Retirement System, which takes out about 300 a month a piece and is matched by the state. My understanding is that we cannot change the amount that is being contributed by us. In addition to that, we each have the option of contributing to a 403b andor an after tax Roth. The university does not match any funds for either of these We are trying to decide which one we should start contributing to. In a perfect world, we would each do both, but we are currently paying down some credit card debt accrued while she was unemployed for 8 months and I was working on an interns salary. So until that debt is gone, both is not an option really. It should all be gone by June with the current plan So, which one should we each contribute to? Should we both do a 403b? Roth? One of us do one and one of us do the other? Also, both options give us the choice of choosing from 9 different companies. How do I know which one is the best one to choose? Any advice you all have is greatly appreciated.  <response>: Congrats - looks like things are going well! Id be concerned about the teacher retirement system. I dont know about Texas but I read news now and then about specifically state-run retirement plans reducing payouts to future retirees - it might not be as stable as you might think.That said, you you didnt say how much credit card debt you have or if you have any other debt ex: student loans, car loans, etc. Depending on how much you have and how much youre paying in interest, it might make a lot more sense to pay those off first before investment in retirement.Im not an expert but heres the main difference between 401403b and Roth: 401k403b uses pre-tax dollars to fund, so you immediately get a tax advantage. Money grows and youre taxed on entire amount when you withdraw. It has a high contribution limit Roth uses after-tax dollars to fund. Has very limited contribution limits and only gains are taxed when you withdraw so perhaps a quarter to half of your Roth would be tax-free depending in growth ratesI like to have both and you should have both long-term. Assuming you dont want to pay off your debt first, Id fund the Roth first because of the following:1 it has a much lower contribution cap - its easier to catch up on 403b than Roth2 youre hedging your bet against future taxation: 403b makes sense if you believe you will pay lower taxes in the future. Roth makes sense if you believe you will pay higher taxes in the future. To use the Roth, youre not putting all your tax eggs in one basket is that a phrase?.Be mindful of investment choices and, most importantly, fees. No matter where you put your money, if the options are awful, youll get less money in the long run so look into your options. Fidelity is a good place to start to get general information but definitely shop around.Id again remind you to check on your credit card debt. If youre paying 300mo on that then if you get rid of it, thats how much youll have to put in your retirement accounts. 