How are Traditional IRAs and Roth IRAs the same?
Each IRA type allows owners to make contributions up to the applicable dollar limit of earned income each tax year. Assets are not subject to income taxes while in an IRA. If the account owner is under 59½, assets can be withdrawn from either a Traditional or Roth IRA exempt from early withdrawal penalties (but not taxes) if used to pay qualifying college expenses or certain home purchases. Check out the IRA Comparison Chart for more information.
