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Whats the point of Roth IRA? : r personalfinance - Reddit Roth accounts are a hedge against future tax hikes and tax rate insecurity There’s a reason Roth accounts are always subject to elimination every few years, tax revenue from Roth users is far less than from traditional
Can someone explain 401k, Roth 401k and a Roth IRA to me like . . . - Reddit In a roth or a tradition ira 401k its on taxed once (either when you earn it for roth or when you cash it out for traditional) Ex-$1000 Traditional IRA- no tax, leave it for a long time, grows to 5k, withdraw it and pay income tax on 5k, netting you like 3500-4k depending on tax bracket
Is roth 401k really better than traditional? - Reddit As you get older and start earning more, though, it makes more sense to switch to traditional (especially since you have the option of supplementing your 401k with a Roth IRA) Traditional also leaves the option of someday quitting, and living on your cash accounts and converting Traditional to Roth while you've got $0 earned income
Roth IRA vs. Traditional IRA? : r personalfinance - Reddit Total value of Roth IRA and post-tax brokerage account: 97,540 If he puts the $6000 in a traditional IRA, puts the tax savings in a brokerage account, and keeps both there for 40 years: His 2021 income was $30,000 He deducts the standard deduction and his $6000 contribution His total taxable income is $11,450
401K. . . . Pre-Tax, After Tax, and or Roth??? : r personalfinance - Reddit Essentially you need to look at effective tax rates vs top marginal Roth contributions (and thus withdrawals) are taxed at your top marginal tax rate (so 24% for your income) because all post-tax money is fungible Traditional contributions are tax-free, but all withdrawals are taxed at your income tax rate
What is your strategy for Roth IRA? : r investing - Reddit If that's in my Roth or similar tax advantaged account, I still can't access it until 65 without incurring a tax penalty Set up a foundation in your retirement accounts, and use the rest in accounts you can actually access if things go well
Fidelity Go VS Normal Roth IRA? : r fidelityinvestments - Reddit I think using a normal Roth IRA is better out of the two, but both are good choices I started with a Go account and then switched over to having everything in a Rollover IRA and fidelity’s user interface still gives you guidance and advice about asset allocation, very user friendly, so in my opinion the purpose of making a Go account is
I have a stock in Roth IRA that I want to sell. If it’s a . . . - Reddit The IRS mandates that Roth IRA distributions be taken in this order: First, from regular contributions, not subject to tax or penalties Second, from conversion contributions, on a first-in, first-out (FIFO) basis Last, from earnings, generally taxable as ordinary income