Monday, April 29, 2013

Regular IRA vs Roth IRA

The three main differences between a Roth and a regular IRA are the following: 1. You get a tax deduction for a regular IRA contribution but not for a Roth contribution. 2. You have to stop making regular IRA contributions at age 70 and 1/2 but there is no age restriction on Roth contributions. 3. You have to start to take distributions out of your regular IRA after age 70 and 1/2 but there is no such requirement for a Roth. Which is better? It all depends on your priorities.

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