Keep working, and buy a house. In some areas of the country they go up 10% - 15% per year. NO retirement plan can match that. But lucky you, your car will last forever, so why not tie up funds for 35 years. {I know you can pull principle out of a Roth, but that makes a mockery of the term "retirement account."} If you have already paid the tax, there is very little to gain putting the $ into a Roth IRA.* Better you should pay current debts, because every financial move you make affects your financial future.
*Even a 5% return means $500 a year for your retirement, but if you are paying 6% on a car, or 18% on a credit card, you are losing ground.
Max out a self-directed Roth IRA and if you can put away more, do individual stocks in a taxable brokerage account.
Why not a traditional IRA? Because they are HORRIBLE tax-wise. Sure, you'll save a bit of income tax now, but you'll pay through the nose when you retire. You'll pay regular income tax rates on every nickel you deposit and every nickel it appreciates. Pre-tax IRAs are also horrible in terms of estate planning.
If you are a buy & hold investor, individual stocks are tax-deferred even in a taxable account. You pay no tax until you sell at a gain. And even then, you only pay tax on the actual gain (difference between what you paid and what you sold for) and you'll be taxed at the more favorable long-term capital gains rate, not ordinary income tax rates. Oh...and if you decide you want to use the money for a home purchase or grad school or a wedding...no problem. It's not in a retirement account...wheeeeeee!
Don't let folks talk you into a pre-tax IRA. It's an "ok" option but the two options I gave you above will cost you less in the long run and give you more flexibility.
If you retire with a sizable net worth, you'll be kicking yourself in the butt if you put it into pre-tax IRAs. :-)
Congratulations on saving $10,000! That is awesome. I would recommend to put $8,000 into a Roth IRA and hire a financial planner (or open up your own brokerage account) and invest your other $2000 to start creating some passive income! Good luck to you! You're on the right path!
Right now get a ROTH IRA as you go up in income level (and tax level) you may want to open a normal IRA
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