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What is the difference between the IRA and the Roth IRA?
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The main difference between an IRA and a Roth IRA is how they are taxed. With an IRA, contributions are made with pre-tax dollars and withdrawals are taxed when withdrawn from the account. With a Roth IRA, contributions are made with after-tax dollars, meaning no taxes are due upon withdrawal. Additionally, Roth IRAs have certain restrictions on when withdrawals can be taken, so it’s important to consult a tax advisor to ensure you understand all of your options.