When Is A Roth IRA Tax Free?
37376 POINTSview profileDavid G. Pipes, CLU®, RICP®Business Development Officer, T.D. McNeil Insurance Services, Fresno, CaliforniaThe money from a Roth IRA is received income tax free if the plan has been in force five years or more and the person is 59.5 years or older. Unlike regular IRA, a Roth IRA does not have a current income tax reduction. Both plans accumulate money income tax deferred, however the standard IRA results in mandatory withdrawals and 100% taxation when withdrawn. There are other issues.Answered on August 7, 2014flag this answer
21750 POINTSview profileJim WinklerCEO/Owner, Winkler Financial Group, Houston, TexasThat is a great question! Since you are putting the money into your Roth after taxes when contributing, the returns are not taxed. There are times when you can be taxed, but they all involve taking the money out before it's been in there for a minimum five years, or for a non-approved reason. I hope that helps, thanks for asking!Answered on August 8, 2014flag this answer
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