The five-year rule for Roth IRA withdrawals of investment earnings requires that you hold your account for at least five years before you can tap those earnings without incurring a penalty. It’s important to note this rule applies specifically to investment earnings.Who can contribute to a Roth IRA?
Contributing to a Roth IRA is one opportunity that you don't want to pass you by. It's one of the most attractive accounts in the retirement world -- especially for younger savers. For starters, anyone can contribute as long as they have earned income for the year and fall within the income threshold.What does Roth IRA do?
The Roth IRA, like a traditional IRA, builds savings by allowing its owner to make regular contributions and invest them in a portfolio of stocks, bonds, mutual funds or other investments.How does a Roth IRA account work?
A Roth IRA is similar to a savings account, but unlike a savings account, you invest this money to generate a sizable profit. That profit is then reinvested in the Roth IRA until the maturity date of the account. Because you invest your money into a Roth IRA after taxes, you don't have to pay taxes on the earnings...