IRAs

“Can my wife and I both have a Roth IRA?” many spouses wonder. Yes, each of you can donate to your own account. This optimizes your total contributions and increases the compounding potential of your money. Can married people have two Roth IRAs? Individuals can only open and own IRAs, so a married couple cannot […]

However, there are a few things you must do right now to ensure a secure retirement later in life. The first step is to keep your financial affairs in order. Make sure you have an emergency fund before you start seriously increasing your retirement funds. Most financial advisors recommend having three to six months’ worth

For a youngster with earned income for the year, a Roth IRA for Kids can be formed and contributions made. Roth IRAs allow you to grow your money tax-free. The earlier your children begin saving, the better their chances of amassing a sizable savings account. A Roth IRA for Kids is managed by an adult

If mandatory minimum distributions from an inherited IRA must be taken, widows and widowers can calculate them using their own life expectancies. Spousal beneficiaries can likewise use a five-year plan to empty an inherited IRA. Does surviving spouse have to take RMD from inherited IRA? Spousal beneficiaries can also choose to roll over all or

If one spouse earns enough money to contribute to an IRA for the nonworking spouse, that spouse can do so. The contribution limits for traditional and Roth IRAs are the same, but the eligibility restrictions are different. Can my spouse contribute to an IRA if she doesn’t work? A spousal IRA is a sort of

A regular IRA can be converted into a Roth IRA in whole or in part. You can conduct a Roth conversion, sometimes known as a “backdoor Roth IRA,” even if your income exceeds the contribution restrictions for a Roth IRA. You’ll have to pay taxes on the money you convert, but you’ll be able to

Working spouses can contribute to an IRA for a non-working spouse through spousal IRAs. Spousal IRAs are similar to Roth and standard IRAs, however they are specifically for married couples. Can my spouse contribute to an IRA if she doesn’t work? A spousal IRA is a great way for a spouse who does not work

A SIMPLE IRA could previously only accept transfers from another SIMPLE IRA. A new law enacted in 2015 allows SIMPLE IRAs to accept transfers from standard and SEP IRAs, as well as employer-sponsored retirement plans including 401(k), 403(b), and 457(b) plans. The following restrictions, however, apply: SIMPLE IRAs may not accept rollovers from Roth IRAs

Unlike a child’s savings account, parents cannot contribute directly to their child’s IRA. Gift taxes may apply to money given by parents to their children. As of 2012, you can give a person, including your child, up to $13,000 tax-free. Because your contribution does not exceed the yearly gift-tax exclusion, you will have no gift-tax

There is no age limit on making regular contributions to standard or Roth IRAs after 2020. If you’re 70 1/2 or older in 2019, you won’t be able to contribute to a traditional IRA on a regular basis in 2019. Regardless of your age, you can contribute to a Roth IRA and make rollover contributions