Hi,

Our scenario is:
We are on h-1b visa/might go back to home country in few years.

Is it advisable to invest in long term retirement funds like 401K/IRA or better to keep in CDs that is short term and can be withdrawn?

Want to know what others in same situation think about his ?

Thanks,
Sakhi

Where are you from? You need to do some more research about how that country will treat the 401k if you return there. Some countries will still tax you on the earnings in the US tax deferred account. Hence, they'd be taxing you on earnings that you cannot access (well, not without a considerable tax cost). You just need to know how that foreign country is going to treat it.

On the other hand, there are so many advantages to the 401k and if you end up staying in the US, that's the better option.

I am from India