The main advantage of a Roth IRA over a traditional IRA is that you're not socked with withdrawal penalties under most circumstances. You can also transfer the earnings to a beneficiary if the account holder dies. One thing to note is that you DO pay tax on contributions to a Roth IRA, unlike a traditional IRA.
Not directly but you can roll it over to a Traditional IRA first then convert that IRA to a Roth.
IRA is Roth
Is your question can you have both a ROTH and Traditional IRA? If so, yes you can.
The Roth IRA is not necessarily better per se than a traditional IRA. Whether one or the other is a better choice for you depends on current and expected marginal income.
A Roth IRA is funded with after-tax money and you do not pay taxes when you withdraw the money. A Traditional IRA is funded with pre-tax money and you pay taxes when you withdraw the money.
Not directly but you can roll it over to a Traditional IRA first then convert that IRA to a Roth.
IRA is Roth
Fortunately, you can easily convert your traditional IRA to a Roth IRA during a given tax year. You can contact the company that operates your IRA and have them rollover the traditional IRA to the new Roth IRA.
If you are referring to the Minimum Required Distribution from a traditional IRA or 401k, the answer is no.
Is your question can you have both a ROTH and Traditional IRA? If so, yes you can.
People have many questions regarding Roth IRA's. Some typical frequently asked questions about Roth IRA's are "Are there any penalties for cashing out my IRA early?" and "can i convert my traditional IRA into a Roth IRA?"
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There are many rules that apply to both traditional and Roth IRA accounts. A rule that applies to both kinds of accounts is the annual maximum contribution limit of $5,000 ($6,500 if you are over 50).
For those over the age of 50 , 6,500 is the Roth IRA maximum contribution limit. The limit is lower at 5,550 for those under 50. These numbers are for both traditional and Roth IRA's combined.
Roth IRA Conversion Taxes. When you convert from a Traditional IRA to a Roth IRA you pay income tax on the contributions. The taxable amount that is converted is added to your income taxes and your regular income rate is applied to your total income.
A Roth IRA calculator will allow you to compare a Roth IRA and a traditional IRA to help you best determine which option you need to be doing to meet your retirement needs.
Roth is the type of IRA. IRA means individual retirement account. A Roth IRA differs from a traditional IRA in that the deposit is not tax deductible for income tax purposes. Also, the gain over time is not taxable when the account matures and the amount is withdrawn for retirement income.