what is a roth ira where can i get one and what are the pros-cons?

Question

i could only put in like 100 a month or so

Answer 1

Hey! Every penny you save now is going to be bucks down the road...great that you're thinking ahead!
A Roth IRA is a long-term savings/investment plan for your future,you cannot withdraw the money ( rare, extreme emergencies only), until you are 60... The main benefit of a Roth is that all withdrawals are tax-free, you won't realize what a MAJOR benefit that is until you've paid taxes on every darn thing else for the next 40 years! hell even Social Security payments are taxed!
Other IRA's ,called Traditional, have a different kind of benefit...whatever amount you put in is deducted from your annual income...so your current income taxes come down a little.
Nice, but not as nice as the Roth.
Now as far as "getting one" you'll need a little more than $100. to start....but you can just walk into a bank and sign up for one...if you have to meet some kind of minimum, just open a savings account with that goal...put your hundred in , then again and again, when you meet that minimum...sit down with someone and get that IRA...then your additions can go directly into there.
...Hopefully the bank will have the means to invest your IRA in "mutual funds" and even a very safe conservative one will add up returns faster than bank savings rates....if they can't do that right away, when your cash builds up, have it moved into funds.
Good luck....get to it,,,it'll give you a sense of accomplishment and in a few years you'll look at the bundle growing and pat yourself on the back!!...and way down the road you'll say "Who was that masked man...I'd like to thank him"

Answer 2

Roth IRA's are extra of a protracted term investment the place you may look after your money from being taxed. CD's are a large investment and not inevitably for persons including your volume of money no longer which you cant make investments like that yet they arrive in decrease paying for denominations for a reason. you'll be able to check out mutual money, they are stable investment a secure investment and observing the fund you've gotten the potential to instruct over a great return interior the mid term. the suited plan could be to communicate with a marvelous economic consultant to boot somebody at right here and look at what money could be rather well worth the possibility you're prepared to anticipate to earnings the returns you go with for and then watch them and make ameliorations as required.

Answer 3

The ira is just a holding vessel. You get 1 at a brokerage firm/mutual fund company as no point in doing 1 at a bank. There are no cons - just do it. Equities like ADX PEO etc once you have enough in to buy them.