Investing in real estate with a Roth IRA is possible (and completely legal). However, you need a special kind of Roth IRA, the self-directed IRA (SDIRA). While your investment options are limited to only traditional assets with a regular IRA, a self-directed Roth IRA opens the door to alternative assets like crypto, NFTs, private equity, […]
A Roth IRA is an individual retirement account that lets you contribute post-tax dollars (income you’ve already paid taxes on) in return for tax-free withdrawals in retirement. Money in your Roth IRA can get invested in a variety of traditional assets, and even alternative assets if you choose to open a self-directed Roth IRA. Roth […]
There are many different kinds of IRAs, each with its own set of rules and benefits. A traditional IRA and Roth IRA are the most similar. They have the same contribution limits and eligibility rules, but only really differ in when and how they get taxed. A SEP IRA is actually closer in function to […]
Having a large nest egg in a Roth IRA means you can enjoy tax-free income in retirement. Roth retirement accounts, like a Roth IRA, are funded with after-tax dollars (money you’ve already paid income taxes on). In retirement, your withdrawals are completely tax-free. Unfortunately, the Roth IRA has an income limit that restricts high-income individuals from contributing. […]
A Roth IRA is an individual retirement account that allows anyone with earned income to make contributions with after-tax dollars. Investments within your account grow tax-free until you make withdrawals in retirement. Because you already paid taxes when you contributed, taking distributions from a Roth IRA are completely tax-free. Unfortunately, a Roth IRA has income limits. If […]
OVERVIEW What is a Roth IRA? A Roth IRA is a type of individual retirement account (IRA) that gives special tax advantages in retirement. Your contributions are made with after-tax dollars, money you’ve already paid income taxes on. You don’t get a tax-deduction when you contribute, but your withdrawals in retirement are completely tax-free. Comparatively, a traditional […]
A self-directed IRA gives you more investment options and lets you invest in alternative assets like real estate, crypto, and private equity. The downside is that every investment has to go through a custodian. You don’t have checkbook control. If you find something you want to invest in, you have to instruct your custodian to send the […]
In 1999, Peter Thiel bought 1.7 million “founder’s shares” of PayPal for $1,700 with his Roth IRA. Within three years, PayPal went public and was acquired by eBay. His initial $1,700 investment turned into $28.5 million. Peter then used that money to make further investments from within his Roth IRA. He invested $500,000 into Facebook, […]
Roth retirement accounts have a 5-year rule, but the rules are slightly different for a Roth IRA and a Roth 401k (or Roth solo 401k). The Roth IRA lets you withdraw your contributions from your account at any age without penalty, even if you’re not 59½ years of age yet. To withdraw earnings from your account, […]