In today's age, especially in most white collar jobs, I think the majority of people will be making much more at 60 than they do at say 30 or whenever they're starting their savings so it would be a better comparison to at least use the same tax bracket for each.

@virsingh7807

7 жыл бұрын

Great point. It almost ends up identical

Just so you know... the limits are now $5500 and $6500 a year now.

great video

Are IRA balances part of net worth?

@Kaff231

5 жыл бұрын

A Darice that's a really good question.

What happens to the money if I die before 59 1/2?

@brianwillis8447

9 жыл бұрын

You should have a beneficiary set up

@angelaqiy

7 жыл бұрын

You will be able to take it out and use it to anyway if you have indicated on your will. Otherwise, whoever wants your money, the government or your family or some greedy lawyers will fight law cases should your money be a huge amount to them.

@kcor4

7 жыл бұрын

1. If you're dead, who gives a shit? 2. You name a beneficiary when you set the account up. If you don't set a beneficiary, the money goes to your estate.

@seandafny

8 ай бұрын

It goes to a charity of your choosing.

How much is the penalty for early withdrawal?

so..my only question is, what if you are a very large investor that set aside money, and then upon retirement your portfolio grows by way more than you got paid during your life. you would be in a higher tax bracket than during your working years meaning tax would be higher. say then you took the 20,000 out and pay now all in all like 35% because you take it close to 100k a year plus. but while working you were making less...wouldn't it make more sense in that situation to not do an IRA?

@AdonisGaming93

7 жыл бұрын

by that I meant traditional IRA, sure you can then do a ROTH IRA but just saying in general.

@miguelsandoval2903

3 жыл бұрын

If you expect to be in a higher tax bracket in later in your life then yes it would not make sense to get a traditional IRA account, a roth IRA would be a better choice. But like investing its quite hard to predict what's going to happen

Is there any IRA where we dont get taxed on withdrawl?

@ashdean3474

3 жыл бұрын

Roth IRAs are sort of untaxed on withdrawal. After 5 years, the principal amount of your contributions are tax free. However, the reason the principal is tax free is that your contributions were already taxed when you made them. You can't really get out of paying taxes, one way or another.

@alrocky

2 жыл бұрын

@@ashdean3474 "After 5 years, the principal amount ..." Wrong. There is no 5 year wait for Roth contributions.

Wouldn't you need to also need to pay capital gains tax once you've withdraw from the IRA?

@dannyledwith21

10 жыл бұрын

no. capital gains applies when you realize gains. you can realize gains in an ira, keep the gains in your ira (reinvest them or not) and pay no capital gains tax. you just pay taxes on your withdrawals.

Sure, if you live in the part controlled by the government. But why would you do that?

You can leave the country. I hear Somalia has no taxes.

OK IF I PUT THAT 5,000 IN A SHOE BOX I WONT PAY TAXES ON IT

@alinaciobotaru1698

5 жыл бұрын

Yg Bodybuilder only if it’s unreported money; that 5000 is actually part of your annual revenues for which you are required to pay taxes; as I see it, the IRA is a way for you not to pay taxes on the amount of money you put in that account (money which should be saved for your retirement). Plus, if you just save it, it will depreciated anyway because of inflation.

why are ALL of these videos designed for people who make a lot of money? Is this even useful to those of us raising a family on $30-$50k and have no disposable income?

@kcor4

7 жыл бұрын

If you have no "disposable" income, then why are you watching retirement savings videos in the first place?

@justalaborer713

7 жыл бұрын

Are you saying that only the wealthy are allowed to learn about ways to retire? I'm looking for things poorer people can do to set aside and grow a retirement and there seems to be very few options.

@alinaciobotaru1698

5 жыл бұрын

3rdshiftNsleepy the first solution is to find a way to lower your expenses; if you can’t do that because of your low revenue, then you must find solutions to increase your income. You can’t really save for retirement if you don’t have disposable income. So maybe you should first search for ways to save and ways to make extra money/ increase your revenues.

@seandafny

8 ай бұрын

Not with that attitude. Making comments on KZread lets me know you do have at least some disposable income. Next step is to invest that. Also it's rude to comment while Sal is speaking you should know to wait until he's done to ask questions