Fall is here, and this is a great time to take stock of your investment strategy(s) and to gather information to prepare you for the year's end. It is time to harvest as much information as you can before the upcoming tax season.
Why do I have a Roth IRA? To avoid paying taxes upon distribution, correct? You might conclude that withdrawing from a Roth IRA is always tax-free, but not necessarily. To prevent taxation when taking a distribution from a Roth IRA requires that one follow the rules. What are the "rules"? You will find answers in these 5 steps.
Click on the title below, "Determining Tax on Roth IRA Distributions in 5 Easy Steps," to learn more.
Determining Tax on Roth IRA Distributions in 5 Easy Steps
IRA distributions can be complex and can confuse the best of us. Traditional IRAs are tax-deferred until you withdraw the funds, which is pretty straightforward. Roth IRAs are tax-free at the time of distribution as long as you follow the "rules." We at DFG are experts that can help you navigate and understand these rules.
Please reach out to our office with any questions you may have. It is time to take stock of your investment strategy(s) and schedule a year-end review. Below is a helpful resource to gather information to prepare you for a review and the upcoming tax season.
PREPARING FOR YEAR-END & THE 2022/2023 TAX SEASON
We look forward to hearing from you, and Happy Fall!
David S Dixon, CFP®