Intro to Investments
A Roth IRA is a type of individual retirement account that allows individuals to contribute after-tax income, with the benefit of tax-free growth and tax-free withdrawals in retirement. This means that while contributions are made with money that has already been taxed, the earnings on those contributions can grow without being taxed, and qualified distributions during retirement are also tax-free. This account is particularly valuable for tax-efficient investing strategies, as it can help investors maximize their returns over time by minimizing tax liabilities.
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