Replies to post #112 on Newbies Investing Questions

[Toofuzzy]

Hope you got an answer before now but.

1) You only pay tax on a retirement account on the money you take out. Trading does not generate an income tax. The tax will be on the amount you take out, when you take it out, at your ordinary income tax rate at that time. 10% penalty if under 59 1/2

2) If in a ROTH IRA no tax EVER! But 10% penalty if funds taken out before age 59 1/2

Toofuzzy