Today we will talk about the pros and cons of the Traditional IRA.
1) If you been putting the money in the IRAs for couple years and if you decide withdraw the money before the age of 59½ you will pay taxes on it and also pay the 10% early distribution penalty.
2) At the age of 72 you will need to begin taking distributions which are also called “required minimum distributions”
1) You can use up to $10,000 from a traditional IRA toward buying your first home
2) there aren’t limits to income to open and contribute to a traditional IRA
3) Tax-deferred growth are relevant here.