On the other hand, you get to take the money out - when past the minimum retirement age - free of tax. You can also take out any amount up to the amount of your contributions at any time - tax free. So if you put in $2000 and the following year you need the money - you can remove $2000.00. What you can't take out is profits or gains made on your contributions ithout incurring tax liability.
With a Roth, you cannot take your IRA contribution as a deduction like you may be able to do with a regular IRA. But there are absolutely no tax consequences other than that.
no you have it wrong
if you contribute to a reg IRA you actually reduce your income tax liability by doing so
with a Roth it is not taxable nor do you have a tax advantage when you contribute(there are some provisions that have to be met to avoid any tax on the interest)
Roth IRA is not taxable, but you would fund it with money after tax (no deductino)
You would have already paid the taxes before entering them into this plan.
I was wondering if I were to open up a Roth IRA account, is there anything I would need to consider about filling out taxes. I understand Roths don't tax your final withdrawal because they're taxed when the money goes in (something like that). I just want to know if I can open up a Roth and not have to worry about it on taxes.
