Facts on Roth
I have a regular retirement account but a co-worker suggested I change it to a roth ira because of the taxes. From what she said, it differs from the account I have now in that it’s taxed on the balance and the deposits so then you aren’t taxed on the withdrawals. That seems pretty simple, but I’m not sure if I’ve got the facts right. Is that how it works? Or is it more complicated than that? And are there restrictions on transferring monies into it or penalties for withdrawing monies from it? I just need some basic information in plain English.
