Because investments are not all taxed at the same rates, it makes a very significant difference in IRA tax depending on which investments you choose to hold inside and outside your IRA. I have covered this in some detail at … Continue reading
By: Clay Wyatt A tax-deferred account, such as an IRA, can be converted to a Roth IRA. The money will then be taxed at the present time, at the time of conversion, instead of during retirement. Whether or not this … Continue reading
By: Clay Wyatt Maybe you’ve lost your job and are getting behind on your bills. Maybe you had an unexpected medical procedure that your insurance offered little to no coverage for. Whatever the case may be, that wad of cash … Continue reading
By: Clay Wyatt An IRA can be a great tool for building retirement savings. It’s tax-deferred status allows for money to be added to the account that would have otherwise gone to Uncle Sam. However, with a plethora of IRA … Continue reading
By: Clay Wyatt The winner in the battle of IRA vs. Roth IRA taxes depends on your financial situation. Those who wish to save on taxes now will be better off with an IRA. A Roth IRA may be better … Continue reading
By: Clay Wyatt If you invest in an IRA, you probably do so because your money will not be taxed until you retire. Paying IRA taxes on it now would defeat the purpose of having an IRA. However, the IRS … Continue reading
By: Clay Wyatt The rich get richer and the poor get poorer, right? That is not always the case with Roth IRAs. Counter-intuitively, the amount that can be contributed to a Roth IRA diminishes once certain income thresholds are met. … Continue reading
You hold two containers full of money: The amount that has been taxed already, let's name the taxed cash as "ordinary cash," and the non-taxed cash, i.e. IRA, 401k, 403b, as "retirement cash." It will cost you $1 at the … Continue reading