Roth IRA

A Roth IRA is a retirement savings vehicle like a 401K or traditional IRA. Roth refers to the legislative sponsor, and IRA stands for individual retirement account. Unlike a traditional IRA, your contributions to a Roth IRA are not tax deductible. However, the beauty of a Roth IRA is that you’re not stuck with a tax bill on your withdrawals. That includes the gains on your investments, as long as you are older than 59 ½ years and the Roth IRA has been opened for at five years. In short, a Roth IRA is a tax-advantaged form of wealth accumulation. First-time home buyers can pull out as much as $10,000 in profits, again without penalties or taxes, as long as the account has been in place for five or more years.

Roth IRA Questions and Answers

A great article on Roth IRAs and IRAs in Kiplinger's personal finance section. Income limits, contribution limits, Roth IRA conversions and tax implications are all addressed. Required minimum distributions and the waiver from Congress in 2009 are also discussed. Source: Kiplinger Full Story
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2009 IRA and Roth IRA Contribution Limits Remain the Same as 2008

The IRA and Roth IRA contribution limits for 2009 remain at $5,000--the same as 2008. Persons turning 50 years old this year are able to make a $6,000 contribution to either the traditional IRA or Roth IRA. Phase-out ranges for Roth IRAs are changing in 2009. Adjusted gross income levels determine whether persons are able to contribute to a Roth IRA. In 2009, contribution levels begin to decrease when adjusted gross income exceeds $105,000 for individuals and $166,000 for joint filers. Roth IRA...
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A Roth IRA Conversion Might Make Sense with Tax Increases on the Horizon

Both traditional individual retirement accounts (IRAs) and Roth IRAs are tax advantaged accounts.

With a traditional IRA, contributions to the account are tax deductible.  Appropriate distributions from the account are taxed in the future at income tax rates that apply to the account owner's future level of income....