A Roth individual retirement account (IRA) allows you to invest money without it being taxed while it is growing nor upon withdrawal. Contributions to Roth IRA's are made with income you have already paid taxes on so they are not a pre-tax investment.
There are yearly limits for how much you can invest into a Roth IRA. The limits were recently raised to $5,000 per individual per year. The limits may be raised again so be sure to check what the current limits are.
There are income requirements for investing in a Roth IRA. Make sure to check the current requirements to see if you qualify. If you make a lot of money, you might not qualify.
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