An advantage of Roth IRAs

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Reference no: EM132023368

1. An advantage of Roth IRAs

a) They reduce taxable income in the year of contribution.

b) They can be passed from generation to generation without any estate or income tax implication.

c) One’s taxable income in retirement is reduced by the withdrawals from the account.

d) There is no tax on Roth withdrawals in retirement when tax rates are often higher.

2. Which of the following can you deduct from taxable income if you do not itemize:

a) Medical Expenses

b) Charitable contributions.

c) Mortgage interest.

d) Property taxes

e) IRA contributions

Reference no: EM132023368

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