Investment guide blog » Roth http://investmentguideblog.com Sun, 08 Nov 2009 22:52:59 +0000 http://wordpress.org/?v=2.9.2 en hourly 1 If Your Savings Account For Emergencies Is All Set, Is Max'ing Your Roth Ira Contributions The Best Strategy? http://investmentguideblog.com/if-your-savings-account-for-emergencies-is-all-set-is-maxing-your-roth-ira-contributions-the-best-strategy-2 http://investmentguideblog.com/if-your-savings-account-for-emergencies-is-all-set-is-maxing-your-roth-ira-contributions-the-best-strategy-2#comments Sun, 08 Nov 2009 16:01:10 +0000 admin http://investmentguideblog.com/2009/11/if-your-savings-account-for-emergencies-is-all-set-is-maxing-your-roth-ira-contributions-the-best-strategy-2/ It seems like the Roth IRA is so flexible: you can put your kids education savings in there, you can withdraw principal after five years without penalty, etc.
So does it make sense to just simplify things and have a) a checking account, b) a savings account (for emergencies) and c) a Roth IRA for all other savings?
(I should note that I can’t save more than about $4,000 per year.)
What do you think?

]]> http://investmentguideblog.com/if-your-savings-account-for-emergencies-is-all-set-is-maxing-your-roth-ira-contributions-the-best-strategy-2/feed 0 Doug Flynn, Cfp And A Roth Ira Strategy For 2009-2010 On Cnbc's "on The Money" W/ Carmen Wong Ulrich http://investmentguideblog.com/doug-flynn-cfp-and-a-roth-ira-strategy-for-2009-2010-on-cnbcs-on-the-money-w-carmen-wong-ulrich http://investmentguideblog.com/doug-flynn-cfp-and-a-roth-ira-strategy-for-2009-2010-on-cnbcs-on-the-money-w-carmen-wong-ulrich#comments Sat, 07 Nov 2009 15:51:13 +0000 admin http://investmentguideblog.com/2009/11/doug-flynn-cfp-and-a-roth-ira-strategy-for-2009-2010-on-cnbcs-on-the-money-w-carmen-wong-ulrich/
Is your income too high to make a Roth IRA contribution? Do a Roth for a rich person. Doug Flynn, CFP with the best picks for your money on the OTM pick of the day. With CNBC’s Carmen Wong Ulric…

]]> http://investmentguideblog.com/doug-flynn-cfp-and-a-roth-ira-strategy-for-2009-2010-on-cnbcs-on-the-money-w-carmen-wong-ulrich/feed 0 What Should The Roth Ira Direct Conversion Request Withholding Election Date Be? http://investmentguideblog.com/what-should-the-roth-ira-direct-conversion-request-withholding-election-date-be http://investmentguideblog.com/what-should-the-roth-ira-direct-conversion-request-withholding-election-date-be#comments Sat, 24 Oct 2009 03:57:50 +0000 admin http://investmentguideblog.com/2009/10/what-should-the-roth-ira-direct-conversion-request-withholding-election-date-be/ Re: Direct Conversion Request form for a Rollover IRA to Roth IRA conversion:
Want to pay the conversion taxes out-of-pocket & NOT from the Rollover IRA. It’s correct to “elect not to have Federal income tax withheld”, Right? Please someone who knows confirm for me & when is the estimated tax payments due to avoid penalty?
What should the effective date be?…..the date the form was completed, or is there some other date or strategy to consider. FYI, in case this matters:
• account was originally a 401k from a part-time job
• account consists of approx $150 cash, $6K in stocks–1 short-term & 1 long-term, both of which prefer to keep; and, 1 more small, long-term not sure to liquidate or not. Is it best to liquidate before or after conversion & why, or does it make a difference?
Can contributions to a Roth IRA be with Schedule B (interest income), C (profit from business), or D (cap gains) income? Account owner is not employed.
Any help is greatly appreciated! Thank YOU! :-)

]]> http://investmentguideblog.com/what-should-the-roth-ira-direct-conversion-request-withholding-election-date-be/feed 0 I Have Just Opened A Roth Ira With The Limit For 2007 All In Vanguard's Windsor Fund (vwndx). Is This Good? http://investmentguideblog.com/i-have-just-opened-a-roth-ira-with-the-limit-for-2007-all-in-vanguards-windsor-fund-vwndx-is-this-good http://investmentguideblog.com/i-have-just-opened-a-roth-ira-with-the-limit-for-2007-all-in-vanguards-windsor-fund-vwndx-is-this-good#comments Tue, 20 Oct 2009 04:00:02 +0000 admin http://investmentguideblog.com/2009/10/i-have-just-opened-a-roth-ira-with-the-limit-for-2007-all-in-vanguards-windsor-fund-vwndx-is-this-good/ I am not sure if I am too aggressive or should find a more balanced fund. I am 31 yrs & just starting to invest. Any ideas or suggestions on other funds or strategies to earn a decent interest of 8% or more per year…
Thank you.

]]> http://investmentguideblog.com/i-have-just-opened-a-roth-ira-with-the-limit-for-2007-all-in-vanguards-windsor-fund-vwndx-is-this-good/feed 0 What Are The Pro's And Con's Of Non Deductable Ira Contributions? In 2010 They Can Be Converted To Roth? http://investmentguideblog.com/what-are-the-pros-and-cons-of-non-deductable-ira-contributions-in-2010-they-can-be-converted-to-roth http://investmentguideblog.com/what-are-the-pros-and-cons-of-non-deductable-ira-contributions-in-2010-they-can-be-converted-to-roth#comments Sat, 17 Oct 2009 15:52:04 +0000 admin http://investmentguideblog.com/2009/10/what-are-the-pros-and-cons-of-non-deductable-ira-contributions-in-2010-they-can-be-converted-to-roth/ In 2010 you can convert these to a roth. Is this a good strategy vs. investing in a non-tax sheltered but tax advantaged mutual fund or other investment.

]]> http://investmentguideblog.com/what-are-the-pros-and-cons-of-non-deductable-ira-contributions-in-2010-they-can-be-converted-to-roth/feed 0 Can I Invest In Multiple Mutual Funds In A Single Roth Ira? http://investmentguideblog.com/can-i-invest-in-multiple-mutual-funds-in-a-single-roth-ira http://investmentguideblog.com/can-i-invest-in-multiple-mutual-funds-in-a-single-roth-ira#comments Wed, 14 Oct 2009 15:51:45 +0000 admin http://investmentguideblog.com/2009/10/can-i-invest-in-multiple-mutual-funds-in-a-single-roth-ira/ I’m currently investing in a Cornerstone Strategy growth fund, but I’d like to add an idex fund.

]]> http://investmentguideblog.com/can-i-invest-in-multiple-mutual-funds-in-a-single-roth-ira/feed 0 Roth Ira….good Strategy? http://investmentguideblog.com/roth-ira-good-strategy http://investmentguideblog.com/roth-ira-good-strategy#comments Mon, 12 Oct 2009 16:43:02 +0000 admin http://investmentguideblog.com/2009/10/roth-ira-good-strategy/ IF I put 3000 in a Roth…. in 5 years when I can take that 3000 out without penalty- do so… leaving whatever interest it has made in there to continue to grow tax free. Isn’t that pretty much letting free money make more free money?
How much could I expect to have in there in “free money” after 25 years at a rate of 7%?

]]> http://investmentguideblog.com/roth-ira-good-strategy/feed 0 Roth 401k: Roth IRA Contribution Limits and 401k Plan http://investmentguideblog.com/roth-401k-roth-ira-contribution-limits-and-401k-plan http://investmentguideblog.com/roth-401k-roth-ira-contribution-limits-and-401k-plan#comments Mon, 12 Oct 2009 16:42:33 +0000 admin http://investmentguideblog.com/2009/10/roth-401k-roth-ira-contribution-limits-and-401k-plan/ Roth IRAs have become extremely popular retirement tools, but the minimal Roth IRA contribution limits and participant Roth IRA income limits have prevented many people from using them. The Economic Growth and Tax Relief Reconciliation Act of 2001 provided for designating Roth IRA contributions within a prequalified plan. Now many individuals previously excluded because of Roth IRA rules can take advantage of the tax-free growth of Roth IRA contributions through a Roth 401(k).The Roth 401(k) is a feature that can be added to a new or existing company-sponsored and defined contribution pension plan, including traditional 401(k)s, safe harbor 401(k)s, and 403(b) tax-sheltered annuities. Employees may elect to designate a portion or all of their elective contributions as Roth IRA contributions. Contributions are included in gross income at the time the employee would have received the contribution amounts in cash if the employee had not made the cash or deferred election. Earnings on the account accumulate tax-free, and distributions, if they are qualified, are tax-free.A qualified distribution is one that is “seasoned,” or that occurs at least five years after the year of the participant’s first designated Roth IRA contribution – and is made on or after the participant reaches age 59 1/2 , because of the participant’s disability or after the participant’s death.An individual can choose to make both traditional pretax and Roth IRA-designated contributions in a plan year. In 2008, an individual has a combined elective contribution limit of $15,500 for all designated Roth IRA contributions and traditional pretax Traditional IRA and 401k contributions (with an additional $5,000 if the participant is age 50 or older). The maximum employee and employer combined annual contribution must be the lesser of $46,000 or 100% of compensation.Employers may match Roth IRA contributions, but these contributions cannot be added to the Roth IRA account. Rather the employer monies must be segregated in pretax fund account that must be kept and accounted for independently and separately. While the employee’s contributions to the employee’s Roth IRA may be withdrawn tax-free, the employer-matched contributions will be treated as ordinary income at the time of withdrawal.Because the 401(k) plan will allow for pretax contributions that are includible in income when distributes (for traditional and employer-matched contributions) and contributions made with after-tax income that will be distributed tax-free (for Roth IRA contributions), there must be separate accounts and separate recordkeeping for the different types of contributions.While a traditional IRA could be rolled over into a Roth IRA, there are no rules that allows for converting a pretax elective contribution account under a 401(k) to a designated Roth IRA account. A direct rollover of a distribution from a Roth 401(k) may only be made to another Roth IRA elective deferral account, such as another Roth 401(k) or a Roth IRA.Roth 401ks are most appropriate for individuals who would like to contribute to a Roth IRA for tax-free growth but are unable to do so because of income limitations or who would like to contribute more than they currently can under the IRA rules. In general, younger individuals saving for retirement and those who expect their tax bracket to increase would benefit greatly from making Roth IRA designations.

]]> http://investmentguideblog.com/roth-401k-roth-ira-contribution-limits-and-401k-plan/feed 0 Is A Roth 401k Better Than A Regular 401k Plan For A 21 Year Old? I Dont Know Anything About Retirement Plans http://investmentguideblog.com/is-a-roth-401k-better-than-a-regular-401k-plan-for-a-21-year-old-i-dont-know-anything-about-retirement-plans http://investmentguideblog.com/is-a-roth-401k-better-than-a-regular-401k-plan-for-a-21-year-old-i-dont-know-anything-about-retirement-plans#comments Fri, 09 Oct 2009 23:48:13 +0000 admin http://investmentguideblog.com/2009/10/is-a-roth-401k-better-than-a-regular-401k-plan-for-a-21-year-old-i-dont-know-anything-about-retirement-plans/ Is a roth 401k better than a regular 401k plan for a 21 year old? I dont know anything about retirement plans. But the lady giving the presentation at my work said roth 401k would be better for my age but I dont see how. Also my company will match up to 5% any tips I should consider?

]]> http://investmentguideblog.com/is-a-roth-401k-better-than-a-regular-401k-plan-for-a-21-year-old-i-dont-know-anything-about-retirement-plans/feed 0 Diversify Roth IRA Investments http://investmentguideblog.com/diversify-roth-ira-investments http://investmentguideblog.com/diversify-roth-ira-investments#comments Fri, 09 Oct 2009 19:23:29 +0000 admin http://investmentguideblog.com/2009/10/diversify-roth-ira-investments/

If you are reading this article you must be interested in a Roth IRA investment of some sort. Hopefully you already have Roth IRA investments started, but perhaps you are wondering if there are better places to invest in.

If you only have a Roth IRA investment in stocks, you should be looking to diversify. I’ve always been told diversification is the best strategy for planning ahead for the future.

You know using a crystal ball to tell you where to invest your IRA money is futile. If you don’t diversify and everything is in one basket, for example just in stocks or just in bonds, you are missing earnings. Since you never know for sure when a certain field of investments will be up and when they will be down.

Historically when one market is down another one is up. So to maximize earnings you must spread your Roth IRA investments around. If your Roth IRA is not growing, it is not helping you any. Since the advantage of a Roth IRA investment is the earnings are tax free, you want to be sure you have earnings, and preferably a high percentage. Having funds that are losing or just barely inching ahead, does not utilize the benefit of a Roth IRA account.

Investments to look at that are permitted by the Roth IRA tax rules are:

  • Real estate, including commercial, residential, undeveloped land, and rental property

  • Real estate mortgages deeds of trusts

  • Promissory notes

  • Tax lien certificates

  • Foreign currencies

  • Oil and gas investments

  • Publicly traded stocks, bonds and mutual funds

  • Private stock offerings

  • Gold bullion

  • Equipment leasing

  • Accounts receivable

  • Judgments/structured settlements

  • Car paper

  • Factoring investments

 

Some of these you may not be familiar with, but everyone is familiar with real estate. Obtaining real estate in your Roth IRA investments is a smart choice.

Real estate can bring you a great rate of return on your investments. You have to know the right deals, and know where the need for real estate is in high demand. Putting your money to work in the right properties can bring you double-digit returns on your Roth IRA investment.

You may like that double-digit return, but you may be thinking how do I know the right properties. I can certainly understand that concern. You can lose your shirt if you buy property you’re not going to be able to sell or if it’s in an area that is already saturated with rental houses and you can’t find renters. If the house is sitting empty it certainly won’t be earning decent returns, and it may end up costing you money.

Investing with an experienced company is the best way to know your money will be safe, and you’ll get the returns on your Roth IRA investments that you need for a healthy retirement account. You can find such companies that are well versed in working with Roth IRA accounts. These companies will handle finding you the best properties and handle the management of those properties.

Finding out more is easy; just go to my web site. If you don’t have real estate in your Roth IRA now, you will learn where to go to find out everything you need to know. You’ll be on your way to high returns in no time.

Robert Ruby invests in Real Estate and researches the best way to find capital for his investments. He buys property with no money down, and also uses the assets in his 401K and IRA accounts to invest in Real Estate. He invests in a company that offers turn-key investing in Real Estate. This company is different because it offers Socially-Conscious Investing To Empower Urban Communities. Go to his website at http://www.increase-ira-returns.com/ to find out more about the company that has proven itself over and over again to help grow wealth. Or go to his website at http://www.buying-cashflowing-realestate.com/ for info about credit investing.

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