Accessibility Menu
Arrow-Thin-Down
S&P 500
6,862.72
+0.4%
+28.22
Arrow-Thin-Down
DJI
48,313.25
+0.4%
+178.36
Arrow-Thin-Down
NASDAQ
23,415.64
+0.5%
+108.02
Arrow-Thin-Down
Bitcoin
$89,963.00
+2.4%
+$2,078.41
Arrow-Thin-Down
NKE
$58.67
-0.1%
-$0.04
Arrow-Thin-Down
CRWV
$85.69
+3.2%
+$2.69
Arrow-Thin-Down
RIVN
$22.51
+0.3%
+$0.06
Arrow-Thin-Down
FCEL
$8.42
+1.0%
+$0.08
Arrow-Thin-Down
RKLB
$75.61
+7.2%
+$5.09
Arrow-Thin-Down
CCL
$31.14
+0.1%
+$0.02
Arrow-Thin-Down
AMZN
$227.15
-0.1%
-$0.20
Arrow-Thin-Down
GOOG
$307.42
-0.4%
-$1.19
Arrow-Thin-Down
META
$666.81
+1.2%
+$8.04
Arrow-Thin-Down
MSFT
$483.89
-0.4%
-$2.04
Arrow-Thin-Down
NVDA
$182.63
+0.9%
+$1.64
Arrow-Thin-Down
TSLA
$494.81
+2.8%
+$13.61
Daily Stock GainersDaily Stock LosersMost Active Stocks

What Is a Roth IRA? How to Get Started

By Kailey Hagen – Updated Nov 21, 2025 at 12:57 PM EST
Follow

Key Points

  • A Roth IRA, funded with after-tax money, offers tax-free withdrawals post-59 1/2 and a 5-year hold.
  • Income limits apply for Roth IRA contributions; high earners may use the backdoor conversion strategy.
  • Roth IRAs don't require minimum distributions and permit tax-free inheritance, enhancing flexibility.
Loading paragraph...
Loading image...
Loading callout...
Loading paragraph...

Modified Adjusted Gross Income

Modified adjusted gross income (MAGI) is an income metric that is used to determine eligibility for certain tax deductions, credits, and additional taxes.
Loading paragraph...
Loading paragraph...
Loading table...
Loading table...
Loading paragraph...
Loading paragraph...
Loading hub_pages...
Loading paragraph...
Loading paragraph...
Loading faq...

About the Author

Kailey Hagen, CFP
Kailey Hagen, CFP, is a contributing Motley Fool retirement analyst covering Social Security, Medicare, and retirement planning. Before The Motley Fool, Kailey was a research analyst for Reviews.com focusing on credit and banking products. She is a Certified Financial Planner® and holds a bachelor’s degree in English from the University of Wisconsin-Madison.
TMFKailey
The Motley Fool has a disclosure policy.
Advertisement

Our Guides

mega-backdoor-roth-ira-infographic
What Is a Mega Backdoor Roth IRA?
Piggy bank next to Roth IRA on notepad.
Roth IRA Contribution Limits in 2026
Silver letters spelling Roth IRA on floor with scattered hundred dollar bills
Roth IRA Income Limits for 2025 and 2026
self-directed-IRA-infographic
Self-Directed Roth IRAs
Person staring at computer screen.
Roth IRA Benefits: The Pros of the Plan
Getty - listening learning headphones laptop notes studying
Roth IRA Rules: Everything You Need to Know
Jar of money labeled Roth IRA
How Does a Roth IRA Work?
woman sitting in front of computer in office late at night -- working job stress businesswoman
Roth IRA Rollovers
retired woman financial planning budgeting calculator
Do Roth IRAs Have RMDs?
5-year-rule-for-roth-iras-infographic
What Is a Roth IRA Conversion?
Two adults and a child with a laptop in a kitchen.
Can You Open a Roth IRA for Your Kids?
how-to-convert-a-401k-to-roth-ira-infographic
401(k) to Roth IRA Conversion
13-couple-personal-finance
Average Roth IRA Returns
backdoor-roth-ira-infographic
Backdoor Roth IRAs: Conversion, Limits and Taxes in 2025
custodial-roth-ira-infographic
What Is a Custodial Roth IRA?
people discussing_retirement_savings
What to Know About the Roth IRA Five-Year Rule
Retirement savings
403(b) vs. Roth IRA: What's the Difference?
roth-ira-vs-529-infographic
Roth IRA vs. 529 Plan for Education Savings
inherited-roth-ira-infographic
Inherited a Roth IRA? Here's What to Do Now
older couple bills personal finance investing
Roth IRA Withdrawal
Advertisement

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.

View Premium Services