Roth IRA

A Roth IRA is very similar to a traditional IRA, but the key difference is that taxes are taken out upfront from the principle you invest.http://www.investopedia.com/terms/r/rothira.asp Roth IRA's are used by people who do not want their accounts taxed at the end of their terms and also by investors wanting to have a great nest egg to retire from. How do you invest in a Roth IRA? Many times the company you work for will give you an opportunity to join a plan that they already have set up with an investment company. You can also set up you own account through any one of the investment banks like Share builder, E*TRADE or TD Ameritrade.

To get a better understanding of how the Roth Ira compares’ to similar IRA's, go to http://www.moneychimp.com/articles/rothira/rothintro.htm

http://www.rothira-advisor.com/roth_summary.htm http://www.investopedia.com/terms/r/rothira.asp http://www.sharebuilder.com http://www.etrade.com http://www.tdameritrade.com http://www.moneychimp.com/articles/rothira/rothintro.htm

Roth IRA

1. No minimum required on distributions beginning 2009, helping many to stay in a low tax bracket.http://www.rothira-advisor.com/roth_summary.htm
2. Another law to be passed in 2010 will be no income cap on eligibility for Roth IRA's. This means anybody can convert normal IRA's over into Roth's, without income being an issue.http://www.rothira-advisor.com/roth_summary.htm
3. You can continue to contribute to the plan even after age 70 or after the time you decide to
4. retire.http://www.principal.com/retirement/ind/ira_roth.htm
5. You are not allowed to withdraw earnings from your Roth IRA only the principle you invested.http://www.principal.com/retirement/ind/ira_roth.htm
6. There are no annual distribution requirements for investments. You do not have to take out your money until it is time for you to retire.http://www.principal.com/retirement/ind/ira_roth.htm