Common Mistakes to Avoid When Contributing to Your Roth IRA in 2024

Common Roth IRA Contribution Mistakes to Avoid in 2024

Opening a Roth IRA with a brokerage firm can provide long-term financial security with tax-free growth and withdrawals. However, contributing to a Roth IRA if your income is too high may lead to ineligibility for full tax advantages.

Key Points:

• Check income limits for Roth IRA eligibility.
• Utilize catch-up contributions if eligible for extra saving benefits.
• Avoid exceeding contribution limits to prevent tax penalties.
• Consider your tax bracket and retirement plans when choosing between Roth and traditional IRAs.