Avoid This 6-Figure Roth IRA Mistake

Рет қаралды 17,571

Күн бұрын

In this video, we cover 10 common mistakes investors make with their Roth IRAs that can cost you up to half a million dollars or more. Whether you're a seasoned investor or just starting out, understanding these pitfalls is crucial for maximizing your retirement savings. We'll walk you through each mistake, explaining why it's costly and how you can avoid it to ensure you're on the right path to financial security. Stay tuned to see if you're making these mistakes and learn how to avoid them starting today.
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🕒 TIMESTAMPS 🕒
0:00 Intro
0:12 #1
1:21 #2
2:32 #3
4:22 #4
6:02 #5
7:09 #6
9:53 #7
11:12 #8
12:22 #9
13:27 #10
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Disclaimer: I am not a financial advisor nor a tax professional. The content presented in this video is for entertainment and educational purposes only.

Пікірлер: 53

@Andyg2g 23 күн бұрын

Can we talk about how consistently informative and well-made these videos are??? Your channel is super underrated! Can’t wait to watch it blow up!

@isoluniv_714z7 24 күн бұрын

I really appreciate your videos. You always explain things so well!

@ScagsWH13 28 күн бұрын

I appreciate the information! Opened a Roth IRA a few years ago and wasn't able to max it out until recently. No time like the present!

@Jbay11b 28 күн бұрын

Thank you so much for this info! You helped me realize a big mistake that I’ve been making this whole year that would have gotten me into a bit of trouble with the IRS. Luckily, it looks like I can resolve it pretty easily. Without this heads up I wouldn’t have known anything was wrong until I filed taxes. 😅

@bikenraider99 27 күн бұрын

Appreciate the insight. Definitely do, did, some of these.

@YouPube_X 11 күн бұрын

Can you talk about the 529 rollover into a roth ira for multiple children. Especially the 15yr rule and how it applies to beneficiaries. Ie) start with multiple 529’s for each kid. Or one and change the beneficiary. The catch being does the 15year rule reset with a beneficiary change? Thx

@GamingDaily 26 күн бұрын

I am trying to figure out which TOR Fantasy Books you have on the top left shelf

@AlexRaePersonalFinance 26 күн бұрын

Good eye. Wheel of Time, one of my all-time favorite series!

@GamingDaily 26 күн бұрын

@@AlexRaePersonalFinance that’s awesome. My top series is Sword of Truth series then Wheel of time. 👍

@regsonregs 2 күн бұрын

If I have stocks in my Roth IRA can I move them to an index fund without penalty?

@MusouInken 10 күн бұрын

When it comes to investing for your kids, I think you should probably note that up to $35k from a 529 plan can be rolled over into a roth IRA for the kid, and those contributions don't have the same limitations on them.

@rgbtrashcan9148 28 күн бұрын

Would you recommend investing in more than one mutual fund in your IRA? I was thinking about doing mostly large cap funds with some small and medium cap mixed in. I am new to this so your videos have helped a lot!

@rgbtrashcan9148 28 күн бұрын

Meant to say Roth IRA

@KL-ii6dt 15 күн бұрын

Just invest in VTI

@spazzman90 13 күн бұрын

VGT, VOO, VTI. In that order.

@alrocky 5 күн бұрын

@@spazzman90 VOO S&P 500 is subset represents most of VTI Total US Stock Market, both nearly identical to each other thus interchangeable so there is no strong reason to hold both within the same account. VGT is a sector or Tech specialized fund which generally shouldn't the core or majority holding of one's portfolio and generally not the first one to invest in.

@6toomany 15 күн бұрын

40 years... 40?? The whole plan is only 25 years old... 40 years is great if you're not already 58... And have never had it available at work until 4 years ago... And just now seeing this info... The people that could use this advice and have time to implement it.. aren't watching this video.. they are over on tic Tok watching other basement huggers live off their parents.😷

@yuniorromero9799 28 күн бұрын

I'm Latino and I've been opening my Roth Ira for 3 years. I love indexed funds, I really like the way you explain in your videos

@rubbersoulboy 28 күн бұрын

Charles Schwab bought TD Ameritrade.

@snosister 24 күн бұрын

any insight / recommendations for investing in Roth 401K vs regular 401K through work? Have a 6 % match and I am pretty solidly in the 25% tax bracket currently.

@michaellwest 20 күн бұрын

You'll want to really consider contributing to the Roth 401k..The contributions are after tax but the growth on your money is not taxed. The matching funds from your employer will still be pre-tax.

@alrocky 20 күн бұрын

Federal Tax brackets are 12% 22% 24% What is you FTB and state tax rate? At retirement do you plan to move to another state with higher or lower tax rate? Do you expect your career to take you to 32% or higher FTB?

@TripSoul10 14 күн бұрын

First contribute to match the employer match then put more towards the Roth 401K. Increase the Roth annually even if it is 1% more.

@user-fk5sk1ij5m 12 күн бұрын

Why you didn’t talk about the eligibility to contribute to Roth IRA?

@ProductResearchVirginia 26 күн бұрын

Is it possible to invest $7,000 once a year instead of $583.33 each month?

@vishutdhar 26 күн бұрын

Yes

@ProductResearchVirginia 24 күн бұрын

@@vishutdharty

@olaseniajibade 15 күн бұрын

Yes absolutely In fact to a degree it is more mathematically advantageous to invest the whole sum at the beginning of the year and just leave it to do what the market is going to do over the course of the year. Some people will contribute to it at the end of the year and that means you missed out on that entire Year's potential gains. For most people you're better off being a buy and hold investor AKA a Warren Buffett style investor. Which means that the day-to-day or even month-to-month swings in the market are largely irrelevant to you because over time the market generally goes up. The average market downturn usually only lasts about 1 to 2 years so if you have several years potentially even decades before you retire then the strategy would be very advantageous for you potentially

@TripSoul10 14 күн бұрын

Starting at age 50, you can contribute $1000 more than normal maximum or $8000 currently for catchup. 401Ks also also more contributions beyond maximum.

@nathanvanwie643 17 күн бұрын

Yeah….. pretty hard to max it out when a wedding costs close to $20k, have $90k student loans, and not living with my parents. Making $70k isn’t nearly as good as it used to be. $100k is the new $50k job nowadays.

@drew8235 16 күн бұрын

It can be tough to max it out for sure. To be clear, though, spending 20k on a wedding is a want, not a need. So that amount of money could certainly go towards paying the student loans down.

@TheDragonrider555 15 күн бұрын

Yeah Nathan, if you have 90k in student loans but only make 70k you need to start making some serious concessions in your life. It doesn’t matter how good your investment portfolio returns are if you’re making terrible financial decisions when it comes to spending. You don’t need a 20K wedding to love someone and quite honestly you cannot afford it.

@nathanvanwie643 15 күн бұрын

@@TheDragonrider555 yeah, my main point is the number 1 mistake in your Roth IRA shouldn’t be ‘you don’t max it out when you are 20’. I’m tired of clicking on videos trying to learn something and they list the ‘number 1 mistake’ as not maxing out your 401k and Roth in your 20s. I know they mean well but acting like most early or even mid 20s can drop $30k online yearly retirement isn’t helping. And the people who can actually drop that amount either have a ton of money already where it doesn’t matter or living with parent. And I know this video was about Roth but I’ve seen this topic repeated a lot for both.

@papijelly 15 күн бұрын

It's about priorities 20k marriage was the priority. the way I see it both of you could have maxed out the Roth and still had 6k left. That's almost the full amount for next year. Or a honeymoon no need to spend 20k on a party. It's like stealing from your older self .

@nathanvanwie643 15 күн бұрын

@@papijelly I’m not spending $20k on a wedding, it’s just an example that I see a lot of people use. We are cutting it close on a lot of things doing $10k. I’m just tired of seeing all of the ‘tips’ with Roth/401k to just have more money.