Self-Directed Roth IRAs are popular, but what are their key benefits? American IRA recently weighed in with some specific answers.

ASHEVILLE, NC, US, January 16, 2024 /EINPresswire.com/ -- These days, Roth IRAs are popular retirement investment tools for a broad swath of Americans. However, many people who don’t invest in Roth IRAs may not know about their specific benefits. American IRA recently turned to its blog to explain not only the benefits of Roth IRAs, but the advantages to Self-Directing such an account and being able to choose one’s own investments when planning for retirement.

The post began by explaining one of the key benefits that drives people to turn to retirement funds in the first place: tax-free growth. The ability to put money into a Self-Directed Roth IRA and enjoy tax-free growth is a great way to maximize one’s returns. And because Roth IRAs use after-tax contributions, the investor does not have to pay taxes on the legitimate growth that occurred within a Roth IRA after reaching retirement age. This means the investor can even keep the money in a Roth IRA in retirement, letting it grow tax-free, without having to take required minimum distributions out of the account.

American IRA also noted that because of this after-tax contribution structure, investors can withdraw contributions (but not growth on those contributions) without penalty. This means that Roth IRAs provide a tremendous amount of flexibility to investors who might be worried about needing that money in the future. The goal of a Roth IRA, of course, is not to serve as an emergency savings account. However, with these flexible rules, a Roth IRA can be drawn upon during emergencies—oftentimes with minimal tax hit.

American IRA also detailed how investors will have more control over investment choices with a Self-Directed Roth IRA. Self-direction refers to the process of working with a Self-Directed IRA administration who serves as the custodian on the account. This custodian would then carry out buy/sell orders for a wider range of retirement assets than most traditional brokerages do. This means the investor has more control over what they invest in.

For more information, be sure to visit the post at www.AmericanIRA.com. Additionally, interested parties may reach out to American IRA by dialing the firm’s number at 866-7500-IRA.

Rebekah Schram
American IRA, LLC
+1 828-257-4949
email us here
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