Hello, yes, as long as you have earned income, you can contribute to an account. See this blog to learn more about the qualifications for opening and contributing a traditional or Roth IRA www.trustetc.com/blog/roth-vs-traditional-ira-faq/
John- I want to eliminate debt (approx $50k) before I retire in two years. Would it be best from a tax perspective to tap a Traditional IRA, Roth, 401-k or home equity? I’ve never tapped my retirement funds but really want to get out of this debt. That said, I do have what I consider a decent amount saved for retirement. Thanks !
Hello, if you were to distribute funds before 59 1/2 you will incur a penalty of 10% and taxes. You would want to analyze if it makes more sense to sacrifice the tax-exempt account dollars or use other financial resources.
Check out more Getting Real here: ow.ly/pZBp50Q7U40 👀
Excellent presentation- thank you!
are retired people still allowed to contribute?
Hello, yes, as long as you have earned income, you can contribute to an account. See this blog to learn more about the qualifications for opening and contributing a traditional or Roth IRA www.trustetc.com/blog/roth-vs-traditional-ira-faq/
John- I want to eliminate debt (approx $50k) before I retire in two years. Would it be best from a tax perspective to tap a Traditional IRA, Roth, 401-k or home equity? I’ve never tapped my retirement funds but really want to get out of this debt. That said, I do have what I consider a decent amount saved for retirement.
Thanks !
Hello, if you were to distribute funds before 59 1/2 you will incur a penalty of 10% and taxes. You would want to analyze if it makes more sense to sacrifice the tax-exempt account dollars or use other financial resources.
How do I transfer my money out of a Annuity into something where I pay less tax on and want to draw money yearly.
Discover more here: www.trustetc.com/blog/transfer-rollover-changing-custodians/