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What to know about IRA accounts before the April 15 deadline
There is still time to make individual retirement account (IRA) contributions for 2024. Sarah Brenner, director of retirement education at Ed Slott & Company, joins Brad Smith on Wealth to break down what taxpayers need to know before the April 15th contribution deadline. Brenner explains that contributions can be made to either a traditional IRA or a Roth IRA. While only the former offers upfront tax breaks, the latter provides tax-free growth. “With a Roth IRA, you don’t get a tax deduction,” she explains. “So sometimes people think, ‘Well, why should I make a Roth contribution if I’m not getting an immediate tax break?’ The benefit is on the other end; with a Roth IRA, the benefit is going to be tax-free earnings and tax-free distributions.” Brenner also describes the details surrounding income limits, distribution limits, and employer-provided IRAs. To watch more expert insights and analysis on the latest market action, check out more Wealth here. This post was written by Josh Lynch
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