4 things you NEED to know before opening a Roth IRA

hey Dustin Tibbets here financial

adviser with jazz wealth managers and

today we're going to talk about four

things that you need to know before you

open a Roth IRA if you're thinking about

it then stick with me


okay so at jazz wealth we specialize in

managing investments and financial in

advice for those that are in the growth

phase or are just getting started we

have lots of clients that come to us and

say I'd like to get started I want to

open a Roth IRA but I need advice and

your YouTube channel is great but I need

advice for me specifically that's what

we do so the first thing I want to say

before you open a Roth IRA is know the

rules okay we get this mixed up a little

bit here and all over the internet

there's all kinds of misconceptions

about how this Roth IRA works here we go

once and for all first number one know

the rules if you want to take out

completely tax and penalty free money

from your Roth IRA then you must have

that account for five years and be over

the age of fifty nine and a half for

completely free and total withdrawal of

the money no matter which portion it is

now in a Roth IRA when you open it and

you contribute money you're free to take

that money back out right if you put a

thousand dollars in two years from now

you get in a car accident something

happens and you just have no other

source of money that money you can take

out but in order to take all the money

out the games right things like that

then we have to meet what I just said so

number one know the rules or know

someone that's gonna help you understand

the rules so you don't get in trouble

number two if you're gonna open a Roth

IRA make it worth it right don't just

open it and let it sit there open it and

put something in now our clients can put

in ten dollars a month you can put in

fifty you can put a billion I don't care

whatever just don't go over fifty five

hundred of course that's the limit but

our clients can do whatever they want

and I'm gonna help you put more money in

there very very important that you max

out your Roth IRA find money somewhere

else to do pay your bills and do all

that stuff with don't touch it max it

out number three if you can't max it out

then make sure you do as much as

possible when you're young when you're

young you don't have that

high-paying job yet well most of you

don't have the high paying job yet so

you're in a lower tax bracket remember

in a Roth IRA the money that goes into

it has already been taxed wherever you

got the money from at your job if you're

at a job that doesn't quite pay you as

much as you hope then you're in the

lower tax bracket which means the money

contributed is growing because it wasn't

taxed as much and it's never gonna be

taxed again if you wait to start

contributing more when you're in your

30s 40s now you got a family you got a

house you got bills you got a boat that

for some reason you keep putting money

into then that money is not going to

have as much time to grow but you're in

a higher tax bracket at that point so

you're not able to contribute as much it

gets harder the older you get I know

these wrinkles make me look a little bit

old but I'm not that old and I can tell

you it gets harder so as much as you can

when you're as young as you can and

number four make sure you choose your

investments wisely now I'm not saying

pick the winning stocks I'm saying

however old you are make sure you're

taking enough risk I can't tell you how

many clients I'm speaking to now that

are finding me here on YouTube and they

come to me and they say look I haven't

made any money my account hasn't grown

in the last three or four years that's a

shame the markets are screaming higher

they weren't taking enough risk so

contrary to what the industry wants you

to think where people are taking too

much risk most people are not taking

risk that's in line with what they want

okay if you don't want to take risk

totally cool right we can set you up

with that but if you are of a certain

age and you're of a certain income and I

see your whole financial picture and

you're able to take risk early on in

your life do it who cares if the market

Falls what are you gonna do you're not

gonna do anything with it you're gonna

invest more right you want the markets

to be going higher when you retire you

want them to drop while you're younger

think about it okay hey if I can help

you go to jazz well calm up at the top

click schedule a call I'll bet you

didn't know that I could be your

financial adviser and you don't ever

have to send me any money right so give

me a call put the local time in there

that you'd like to speak with me and I

hope to talk to you soon