roth IRA's

[ByRoN]

who here has one? what do you thinki about them? i am looking to take my 401k and put it in one because my new job has no 401k!

[lxorl]

I have a roth IRA...

I like the roth idea because its taxed now... and what your account has is what you have when you withdraw it, where a traditional IRA will be taxed on withdraw. You still basically get taxed the same, but being taxed up front you tend to forget about it.

I have mine set up to put 50$ on each pay check directly into it... i will increase the amount down the line. But its nice to have it all automated because you dont have to do anything other than the initial set up. Right now i only have a balance fund in my IRA. 60% stocks 40% bonds.

I think you can only put 3K a year into a Roth IRA

[redsquirrel]

I have a roth IRA...

I like the roth idea because its taxed now... and what your account has is what you have when you withdraw it, where a traditional IRA will be taxed on withdraw. You still basically get taxed the same, but being taxed up front you tend to forget about it.

I have mine set up to put 50$ on each pay check directly into it... i will increase the amount down the line. But its nice to have it all automated because you dont have to do anything other than the initial set up. Right now i only have a balance fund in my IRA. 60% stocks 40% bonds.

I think you can only put 3K a year into a Roth IRA

I have one as well. I would advise you that if your current job has no 401k, then you should put that $ into the Roth. If you ever do change jobs and the new job has a 401k, I would max that out. My job has one, and I contribute 2% each pay period. I can go up to 6%, and yes I understand I should max it. However, a majority of my income is based off of bonus and varies to some degree every month, I can't elect a certain $$ amount to be contributed.

True, the Roth isn't taxed if you ever need to withdraw the money. However, if you don't think you will ever take it out and don't even want the option, a traditional IRA may be the right choice. Mainly for the tax deductions.

The maximum contribution per year for both types is $3000. I deduct $250/ month which is the maximum. I have had a little over a year, and am very pleased with its' growth.