First Republic Private Wealth Management includes First Republic Trust Company; First Republic Trust Company of Delaware LLC; First Republic Investment Management, Inc., an SEC-Registered Investment Advisor; and First Republic Securities Company, LLC, Member FINRA/ SIPC.
Contributions to a traditional IRA reduce your AGI (Adjusted Gross Income) and lower your taxes. Your contribution must be made by April 15 following the tax year to be deductable. Contributions to a Roth IRA do NOT reduce AGI and do not lower your current taxes.
Unlike traditional IRA contributions, Roth IRA contributions aren't tax deductible. Therefore, contributing won't decrease your taxable income. For example, if your taxable income is $50,000 and you put $5,000 in your Roth IRA, you'll still be taxed on $50,000 of income.