I have an IRA, and unfortunately didn’t adjust anything before “Liberation Day”, so I guess I’m in for the long haul.
My financial guy also recently advised me to start a Roth IRA, and I just sent him 2 checks last week, one for 2024 taxes and one for 2025. I’ll probably still deposit the 2024 check for tax purposes, but thinking I should wait a while for the 2025 one until the dust settles…
I have an IRA, and unfortunately didn’t adjust anything before “Liberation Day”, so I guess I’m in for the long haul.
My financial guy also recently advised me to start a Roth IRA, and I just sent him 2 checks last week, one for 2024 taxes and one for 2025. I’ll probably still deposit the 2024 check for tax purposes, but thinking I should wait a while for the 2025 one until the dust settles…
You can invest the money and choose a money market account to invest in. That way you’ve taken advantage of the tax benefits but your money is safe. You aren’t going to make much of a return, but for a temporary place to hold it, it works.
Just a thought for you. Roth IRAs are betting on higher tax rates in the future, IOW when you are forced to cash out after age 70, the taxation will be a higher %. Paying taxes now and none later would be a good thing. However, your need for cash now is probably more than when you retire, and if tax rates decline, you are losing out with a Roth. It all depends on your needs.
I have an IRA, and unfortunately didn’t adjust anything before “Liberation Day”, so I guess I’m in for the long haul.
My financial guy also recently advised me to start a Roth IRA, and I just sent him 2 checks last week, one for 2024 taxes and one for 2025. I’ll probably still deposit the 2024 check for tax purposes, but thinking I should wait a while for the 2025 one until the dust settles…
You can invest the money and choose a money market account to invest in. That way you’ve taken advantage of the tax benefits but your money is safe. You aren’t going to make much of a return, but for a temporary place to hold it, it works.
Thanks that’s a good idea
Gabe
Just a thought for you. Roth IRAs are betting on higher tax rates in the future, IOW when you are forced to cash out after age 70, the taxation will be a higher %. Paying taxes now and none later would be a good thing. However, your need for cash now is probably more than when you retire, and if tax rates decline, you are losing out with a Roth. It all depends on your needs.