Do you pay yourself first??

[autoxer]

Re: Do you pay yourself first??

What are the penalties for taking money out of a ROTH IRA? There is no penalty for withdrawing your contributions, but the earnings are taxed as income & if you are under 59 1/2 years old there is an additional 10% tax penalty.

Do you have to make monthly contributions? No, I do a yearly contribution.

What kind of returns can I expect from a ROTH IRA? That all depends on what it is invested in, but you can choose from many mutual funds or even stocks if your Roth IRA is with a brokerage.

Could I take just 1,000 dollars lump sum and stick it in a ROTH IRA? Yes.

I wouldn't use a local bank for a Roth IRA account. I would choose a larger brokerage for a better choice of investments & better guidance.

[Ima saver]

Re: Do you pay yourself first??

I do have the vanguard star fund and it only took $1000 to open it. It is a great fund. I am not sure if it still has the $1000 minimum! I wish we had a mutual fund expert on here that could tell us. Most banks will not charge anything to open a roth ira.