INDIVIDUAL RETIREMENT ACCOUNTS
Roth IRA is when you pay income taxes on the money you invest. With a traditional IRA, you put in un-taxed money and pay the taxes when you withdraw money in retirement; with a Roth IRA, you pay the taxes on the front end so that you are withdrawing money tax-free in retirement.
Income is taxable when you withdraw from IRA
Income is taxable when you contribute to an IRA
Almost anyone with earned income can contribute (deductibility may vary) You must start withdrawing money at age 70½
There are income limits
No required minimum distribution (RMD) at age 70½
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