Near Retirement — Roth or Traditional IRA
Dear Terry, I'm a 57yr man, all kids are adults, not much debt, married still working, which IRA should I get traditional, Roth,or Sep which is best for me to get with modest amount of money
Terry Says
Assuming you earn under $200,000 and file a joint return, you qualify for a Roth IRA. You don't get a tax deduction for your contribution, but all the money grows and is withdrawn tax-free. Here is a link to the rules at www.RothIRA.com. The real question is where and how you should open that IRA account. I would suggest contacting Vanguard (www.Vanguard.com) or Fidelity (www.Fidelity.com) and they will guide you through the process. At your age, and given the huge run-up in the stock market, I would suggest investing in their Equity-Income fund at either place. It's a bit more conservative. And when the market declines, stick with your regular investment plan and don't get scared out!
