IRAs

By
IRA = Individual Retirement Account.


Type of IRAs:


Traditional IRA: Pretax contributions
Roth IRA: Post tax contributions

Pretax contributions:

Contributions made before taxes are taken out of your salary.

Post tax contributions:

Contributions made after taxes has been taken out of your salary.

When to start contributing?

As early as possible, this will allow you to take advantage of compounding.

What is compounding?

Compounding is the process your money takes to grow, including the addition of interest or capital gains paid.

How can you open one of these IRAs?

You can open one of these IRAs by visiting any investment firm or bank online.
I have mine from: https://www.fidelity.com

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