However, if youâre curious, there is a fascinating system behind ABA numbers. The ABA number is like an address that tells everybody where to find your account. ABA numbers are also known as routing transit numbers (RTNs). âABAâ is used because the American Bankers Association (ABA) assigns the numbers to banks.
In contrast to a traditional IRA, contributions to a Roth IRA are not tax-deductible. Withdrawals are tax-free under certain conditions (for example, if the withdrawal is only on the principal portion of the account, or if the owner is at least 59Â½ years old).
Your contributions are limited to the lesser of your compensation or $5,500 ($6,500 if you are age 50 or older). While you cannot deduct the contributions made to a Roth IRA, there are many reasons to contribute to one.All qualified distributions are tax-free.our contributions are limited to the lesser of your compensation or $5,500 ($6,500 if you are age 50 or older). While you cannot deduct the contributions made to a Roth IRA, there are many reasons to contribute to one. All qualified distributions are tax-free.