IRA’s Roth and Traditional

An IRA is an Individual Retirement Account designed for individuals to save for retirement with tax advantages. Individuals receive either tax-free growth or can save on a tax-deferred basis. Withdrawals prior to age 59 ½ may result in a 10% IRS penalty tax in addition to current income tax.

As long as individuals meet certain rules, a Roth IRA is not taxed when funds are withdrawn. The money is taxed when it goes into the account. This is a great retirement option for individuals who predict that their taxes will be higher in the future than in the present. On the other hand, a Traditional IRA is a better option if an individual predicts they’ll be in a lower tax bracket upon retirement. In a Traditional IRA, contributions are tax-deductible, but earnings are not tax-free as they are with a Roth IRA. Individuals pay a tax on withdrawals.

For Roth IRA’s, withdrawals of earnings prior to age 59½ or prior to the account being opened for 5 years, whichever is later, may result in a 10% IRS penalty tax. Limitations and restrictions may apply.

Investment Inquiries

Hours of Operation

Monday - Friday; 8:30 am to 4:30 pm and by appointment.

At Forsberg Investments and Insurance, we pride ourselves on making your questions and investments our priority, whether you call, email, or stop by the office - we are here for you.

Securities and advisory services are offered through LPL Financial, a Registered Investment Advisor, Member FINRA\SIPC.  This site is published for residents of the United States and is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any security or product that may be referenced herein. The LPL Financial registered representatives associated with this website may discuss and/or transact business only with residents of the states in which they are properly registered or licensed. No offers may be made or accepted from any resident of any other state. Not all products and services referenced on this site are available in every state, jurisdiction, or from every person listed. The FINRA registered branch office for Michael Forsberg is 99 10th Ave S Waite Park, MN 56387.