Roth IRA Contributions Quick Fact Sheet | Ed Slott and Company, LLC

Roth IRA Contributions Quick Fact Sheet

Quick Fact Sheet – Roth IRA Contributions

  • You have earned income
  • You contribute already taxed funds (after-tax funds) to a Roth IRA
  • You receive no tax deduction for your Roth IRA contribution
  • You can continue to contribute to a Roth IRA after age 70 ½
  • Qualified withdrawals are income-tax free (a withdrawal made after any Roth account has been established for 5 years and the Roth owner is over the age of 59 ½ or qualifies for the first-time homebuyer exception or the distribution is due to the account owner’s death or disability)
  • You can also have and contribute to a spousal Roth IRA, based on your income even if your spouse has no income
  • Withdrawals of converted amounts may be subject to the 10 percent early distribution penalty if the 5-year exclusion period has not been met (this is a separate 5-year period from the one noted above) and the Roth owner is under age 59 ½ at the time of the withdrawal
  • There are no required minimum distributions for Roth IRA owners
  • Roth IRA designated beneficiaries can stretch distributions over their lifetimes the same as traditional IRA beneficiaries


Copyright 2017 Ed Slott and Company, LLC

 

 

Find members of Ed Slott's Elite IRA Advisor GroupSM in your area.
We neither keep nor share your information entered on this form.
 

I agree to the terms and services:

You may review the terms and conditions here.