In your 20’s? Recent grad? Do you have a company 401k?
If you answered yes to any of these questions then you have the OPPORTUNITY to be well prepared for retirement when it comes many years down the road.
Many young individuals get their first job and are advised to put in enough money to their company 401k to receive the full company match. Do this!
However, many assume that this is sufficient for retirement planning/saving. It might be, but then again isn’t it better to be safe than sorry?
In comes a Roth IRA. Roth IRA’s have a yearly contribution limit, they have income limits, but the money you put into it is NEVER taxed if you follow the rules. The amount you can contribute to this retirement vehicle if you’re under the age of 50 is $5,500/year or $458.33/month. Since most young people will make less than $114,000 if you’re a single income tax filer, then it makes perfect sense to contribute to a Roth IRA.
Check the following link to learn more about Roth IRA rules and get one started now. You’ll thank yourself later.
http://www.rothira.com/roth-ira-rules