While you are still in a job, it is never a bad idea to think about what comes after you have retired. While you work, you have a certain level of financial stability that you cannot be assured of when you are done working. This is why it is essential to contribute to your life after retirement. One of the ways to secure your financial future is to have an individual retirement account.
Individual Retirement Accounts are just like 401(k)s and are offered to employees as part of benefits packages. However, in this case, the contributions made to the account will be made by you. Even if you have a 401(k), having an Individual Retirement Account (IRA) can provide you with a valuable extra financial cushion.
Just like the 401(k), IRAs are two kinds:
- Traditional IRA: The contributions to this account are not tax-deductible. You don’t pay taxes until you withdraw the money after retirement.
- Roth IRA: The money you deposit is from your income after tax. You will not have to pay any tax when withdrawing from the account after retirement.
Our job is to help you set up an IRA so you can achieve your dream of financial stability after retirement. We will give you advice on how an IRA can be of help to you and help you figure out which kind of IRA gives you the best tax breaks. Reach out to us today.