Biotech Values

[Biowatch]

Roth IRA... 100% tax free for ever

Agreed.

As long as you are more than 59.5 years old and have had the ROTH IRA for more than five years, all withdrawals are tax free.

No minimum or maximum withdrawal requirements.

You can continue to contribute or withdraw money, paying tax on that cash up front, without paying taxes on any capital gains, dividends, or interest (or benefiting from losses) on the back end.

The idea behind a traditional IRA is that you will earn far less money in retirement when you need to withdraw cash from that account, hence it won't be such an expensive source of cash, i.e., you'll be in a much lower tax bracket, so capital gains won't matter as much.

With a ROTH, if some of your investments have such a high return that selling them would nail you on capital gains tax and bump you into a higher tax bracket, you needn't worry so much, as since you paid full taxes on the cash up front before you made a fortunate investment, you don't have to pay taxes on capital gains, interest, or interest.

I am not a tax lawyer. Check with someone who is before making relevant decisions.