In today’s video we will discuss the 5 Year Rule of the Roth IRA, and what it means to you and your retirement savings. Mentioned Video: ✅ SUBSCRIBE to NOT being a transaction ever again... ✅ Like us on Facebook! ✅ Follow us on Twitter! ✅ Check out our site for more tips A Roth IRA is an individual retirement account where your investments grow tax-free into retirement. It is funded with after-tax money. You choose your investments, and when you retire, your withdrawals are tax-free, if you meet the 5-year rule. If you don’t meet this rule, you could end up paying a 10% penalty and taxes on your earnings. The main rule you need to follow is what is called the 5-Year Rule for Tax-Free Withdrawals from a Roth IRA. It will come into play when you withdraw your earnings from your Roth IRA. (Not your contributions as they are always free from penalty and taxes since you deposited after-tax money into the Roth) If you withdraw your earnings: Your earnings will be tax-free
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 :)