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Re: knarf 9 post# 25222

Wednesday, 09/26/2018 1:13:48 PM

Wednesday, September 26, 2018 1:13:48 PM

Post# of 70338
You will not be taxed, since all IRAs allow tax-sheltered growth, which means that any dividends earned in the account aren't taxed in the year you earn them. As long as you leave the money in the IRA, it continues to grow tax free. For example, if you receive $500 in qualified dividends in your IRA, you get to reinvest that entire amount, rather than sharing it with Uncle Sam, so your account grows faster.
The same for a Roth:
Tax-Free Retirement with a Roth IRA. ... And the beauty of the Roth IRA is that all account growth—whether from interest, dividends or distributions—is 100 percent tax free. You get the interest, dividends and even capital gains without having to pay additional tax on them, as you would in a regular investment account.
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