ROTH IRA History

Series Summary

Don't be broke at the end of every pay period. Many people's paychecks are spent before they even get to the bank. More than half of America's work force spends more than they make. Aside from trying to convince the boss to double your salary, there is a solution to exhausting psychological effects of barely scraping by. Tracking your expenses and creating a personal financial budget is a great place to start. In this series of free videos get expert advice on creating a budget for personal finances. By figuring out where the money's going, it is easier to get spending under control. Learn how to divide your spending into distinctive categories, like housing, utilities, food, medical expenses, transportation, investments and more. Once you've defined what type of spender you are, you can analyze cash flow, and create and maintain a budget you can stick to. If needed, there are dozens of different types of loans available including amortized and subsidized loans, as well as interest-only loans and collateral loans. While none of these videos will help you earn more, the advice they offer should help you spend your money more wisely.

Video Transcript

"This is financial adviser Patrick Munro, talking about the background of IRA's. Basically, as our economy in America has grown, the government has become aware, that it is important to take care of the citizens when they get retired, so they came out with a program, called the IRA, Individual Retirement Account. This is a way for working Americans to put money away, under a tax qualified plan, with the government, and receive tax deferral on contributions. Many times, employers will match those contributions, making them ever larger, and there is no taxation on the internal investment, so therefore, the compound interest that we oftentimes talk about in the world of financial planning, grows, going forward, and traditional IRA's, that's the history of them in America. It is great for you to consider if you're a working individual, to get a traditional IRA, because as you get older, you don't want to have to go back to work, and lose principle in your investments, so that's Patrick Munro, talking about the principles of a traditional IRA."