Consider Growing Your Nest Egg in a Roth IRA

Many seniors underestimate the importance of taxes once they retire. You might be surprised to find yourself in another tax bracket later on in life, so do what you can do now in order to “fix” your taxes before then.

A Roth IRA works with after-tax dollars, as opposed to traditional IRAs or 401(k)s. It’s simple- you pay taxes now, but the distributions you take during retirement will be tax-free.

This option is also great if you anticipate needing to make early withdrawals. With traditional accounts, there are many rules around this and in most cases, you’ll have to pay a penalty. But Roth IRA accounts aren’t as rigid, so you could make early withdrawals without the fear of exorbitant fees and penalties.