A Roth IRA (Individual retirement account ) is a type of retirement savings account that offers unique tax advantages to individuals in the United States. It is named after Senator William Roth, who played a key role in its creation. Here are the key features and benefits of a Roth IRA: 1. **Tax-Advantaged Savings:** The primary advantage of a Roth IRA is its tax treatment. Contributions to a Roth IRA are made with after-tax dollars, meaning you don't get an immediate tax deduction for your contributions, unlike a traditional IRA. However, qualified withdrawals from a Roth IRA, including both contributions and earnings, are tax-free. 2. **No Mandatory Withdrawals:** Unlike traditional IRAs and 401(k)s, Roth IRAs do not require you to start taking required minimum distributions (RMDs) at a certain age. This flexibility can be advantageous for retirement planning , as you can leave your money invested for as long as you want. 3. **Flexibility in Investments:** Within a
Timothy Sumer is a philanthropist and motivational speaker empowering young entrepreneurs across the nation. He speaks on starting new businesses and the importance of branding in the digital age. Timothy Sumer has a BA in Accounting from NYU and a Masters in Information Technology from MIT. Tim enjoys traveling around the globe, driving exotic sports cars, molecular gastronomy, exploring new cultures, and keeping on top of the latest technology trends. Hope you enjoy Timothy Sumer's page :)