The Traditional IRA is put in before you pay tax on it and is taxed later when you retire and start pulling it out. The Roth IRA is put in after you paid your tax but is not taxed when you take it out, as long as it's after age 59 ½ in most situations. Usually the right one for you is based on your age and tax bracket. Currently you can invest up to $5,000 per year. This adjusts upward with inflation and if you are over 50 years old, you can make a catch up amount of an additional $1,000 per year.

Steve Corcoran is a Financial Advisor and would be happy to answer any questions you may have. Call Steve at 937-898-3345.