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Does one have to pay taxes in the interest earned on after tax contribution to a traditional IRA account?
Wiki User
∙ 10y ago
Earnings within an IRA are not taxable in the year earned. A traditional IRA contributions are possibly tax deductible in the year made and are tax deferred until they are taken out of the IRA.
Wiki User
∙ 10y ago
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What is the journal entry for interest earned on a checking account?
Debit cash / bankCredit interest income
Does a 14 year old have to pay taxes on interest earned from savings account or CD's?
Yes
How does equity differ from an asset?
Equity is something gained from an asset such as shareholders, interest earned, or mortgage's. there are many ways to earn equity. one popular way is interest earned from a savings account.
Does severance pay count as earned income in making a contribution to a traditional IRA?
Severance pay usually is considered ordinary taxable income. If the income is taxable you can count it toward making an IRA contribution.
Who pays income taxes on interest earned on a joint savings account that is owned by me and my mother?
Usually you and you mother will both pay half each of any taxes due on the interest which is generated from a joint account
Is the interest earn t in a bank account classed as an investment?
Interest earned in a bank account is not an investment. It is considered an income. The money that you have in the bank account that earned the interest for you is considered the investment
How much interest is earned on the account?
A $5000 investment at an annual simple interest rate of 4.4% earned as much interest after one year as another investment in an account that earned 5.5% annual simple interest. How much was invested at 5.5%?
1000 dollars in a savings account pays 7 percent interest per year The interest earned after the first year is added to the account How much interest is earned on the new principal the following year?
$74.90
What is the journal entry for interest earned on a checking account?
Debit cash / bankCredit interest income
Does the amount of interest earned each year increase decrease or stay the same in a simple interest account What about in a compound interest account?
Simple interest: stays the same. Compound interest: increases.
Does the amount of interest earned each year increase decrease or stay the same in a simple interest account. What about in a compound interest account?
Simple interest: stays the same. Compound interest: increases.
What is the value of compound interest?
Compound interest increases the amount earned by adding credited interest to the principal, and interest will then be earned on that money as well. The longer the principal and interest remain in the account, the greater the earnings they will accrue.
Savings account A has 1500 and pays 3.5 percent interest yearly Savings account B has 1400 and pays 4 percent interest yearly The savings account that earned the most interest after one year is?
Account B
What do you see you have contributed to your savings account?
You will see your balance and any interest earned.
What is the primary factor that will affect how much is earned in a saving account?
The interest rate.
The amount of money earned in a year by a savings account is called the?
ANSWER It is called "interest".
The accumulation of funds over time where previous interest earned remains in the account to earn additional interest is called?
compounding interest.... i think
