7
votes
2answers
195 views

Why is there an income restriction on contributing to a Roth IRA?

Currently, single adults making more than $112,000 ($178,00 for couples) per year cannot use Roth IRAs I was just wondering what the reasoning behind the income restriction was for the Roth IRA ...
3
votes
6answers
2k views

why is the money withdrawn from traditional IRA taxed at the ordinary income tax rate?

When money is withdrawn from a traditional IRA account, why is the money taxed at the rate same as for ordinary income, instead of capital gain tax rate? In other words, what is the rationale for it? ...
4
votes
3answers
151 views

Minimum investment per year to make Roth IRA worth it?

So I've decided to start a Roth IRA but talking to a few colleagues of mine they said that there's a few fees and stuff that comes with it such that if you don't put in quite a bit of money each year ...
7
votes
2answers
279 views

When should I switch from after-tax to pre-tax retirement savings?

I am contributing to my employer's Roth 401(k). The consensus in this question is that when you're young you should make your retirement contributions after-tax so that they grow tax free, and that ...