Part 1/5:
The Importance of Individual Retirement Accounts (IRAs)
When it comes to planning for a secure financial future, individual retirement accounts (IRAs) are a fundamental tool that everyone should consider. Gaby Lapera and Dan Caplinger shed light on the ins and outs of IRAs, emphasizing their significance for anyone with earned income.
What is an IRA?
IRAs, which stand for individual retirement accounts, are investment accounts designed to help individuals save for retirement in a tax-advantaged way. Caplinger highlights that there are two main types of IRAs: the traditional IRA and the Roth IRA. Each offers unique tax benefits but shares a common requirement—earned income.