Learn about the Roth IRA and how you can invest it.

A Roth IRA is another type of Individual Retirement Account (IRA). With a Roth IRA contributions to the account are not tax deductible, but “qualified” withdrawals from the account are not taxable either. A “qualified” distribution from a Roth IRA is a withdrawal made after the taxpayer attains age 59 ½. Also a Roth IRA is qualified if it is made to a beneficiary after the taxpayer’s death, made because the tax payer is disabled, or made by a first-time homebuyer to acquire their original residence.

Distributions from a Roth IRA can be made after the owner reaches 70 ½. Currently with a Roth IRA there is an income ceiling where you can’t invest in a Roth IRA if your single and your adjusted gross income is higher than $95,000, or $150,000. Th View the rest of this article