What Is A Roth IRA? Individual Retirement Accounts For Fashion Models & Actresses For Tax Free Income

ZARZAR MODELS Top Modeling Agency For Fashion Models - Individual Retirement Accounts For Fashion Models & Actresses For Tax Free Income
ZARZAR MODELS Top Modeling Agency For Fashion Models – Individual Retirement Accounts For Fashion Models & Actresses For Tax Free Income

Above: ZARZAR MODELS Top Modeling Agency For Fashion Models – Individual Retirement Accounts For Fashion Models & Actresses For Tax Free Income.

A Roth IRA is an individual retirement account for fashion models and actresses that offers the opportunity for tax-free income in retirement. Annual contributions are taxed upfront and all earnings are federal tax-free when they are distributed during retirement according to IRS (Internal Revenue Service) rules. This is much different than a Traditional IRA for fashion models and actresses, which taxes withdrawals during retirement. Contributions to the Roth account can be withdrawn at any time and there are no required minimum distributions during retirement.

If a fashion model or actress is in a lower tax bracket today than what she will be during retirement (for example, if she believes that she will become a famous fashion model, supermodel, or a wealthy actress), a Roth IRA may be one of the smartest financial choices that she can make today since it can allow her to make millions or tens of millions of United States dollars in earnings and pay zero taxes when the money is withdrawn during her retirement.

Is A Roth IRA Right For You? Benefits of a Roth IRA For Fashion Models & Actresses

  • Withdrawals of earnings are free from federal income tax, provided the Roth IRA has been in existence for five years and you are at least 59½ years old.
  • Contributions can be withdrawn at anytime without federal income taxes or penalties.
  • RMDs (Required Minimum Distribution) are not required. This basically means that if a fashion model or actress wishes to keep the money in her account during retirement (so that it can continue growing tax free), she will not have to pay any penalties or fees for not withdrawing the money out of her Roth account.
  • Distributions for your beneficiaries are tax-free.

Roth IRA Rules & Benefits Of A Roth IRA For Fashion Models & Actresses

  • Breadth of investment choices for fashion models and actresses, including commission-free stocks, ETFs (exchange traded funds), and fixed income products such as treasury bills and government bonds. You can open a Roth IRA with many of the major stock brokers in the United States including Charles Schwab, Fidelity, TD Ameritrade (acquired by Charles Schwab), E-Trade (acquired by Morgan Stanley), and Interactive Brokers (this broker is better suited for advanced and sophisticated investors and is not generally ideal for beginning investors).
  • Eligibility: to contribute and add money to your Roth IRA, you must earn income (in other words, you should not be a starving actress or fashion model and must actually have a real job in fashion modeling, acting, or in anything else outside the fashion modeling and acting industry). There are no age limits.
  • Income Limits: there are income limits which means that if you are already a supermodel, a famous fashion model, or a famous actress, you probably already earn too much money (this is a nice problem to have as a fashion model or actress) and no longer qualify to contribute new money to your Roth IRA. However, the money that you contributed to your Roth IRA when you were an unknown fashion model or actress can continue to grow tax-free for decades.
  • Contributions are not tax deductible, but as mentioned previously, withdrawals are tax free during retirement. This basically means that if your Roth account is worth $1,000,000,000.00 (this is one billion United States dollars for the arithmetically challenged) you can withdraw the money completely tax free during retirement.
  • Maximum contributions: there is a limit to how much money you can contribute to your Roth IRA each year, so it pays to open your account when you are very young.
  • Earnings: your Roth account earnings grow tax-free.
  • Distributions are free from federal income taxes when your Roth IRA account has been open for at least 5 years and you are 59.5 years old or older.
  • Required minimum distributions are never required for the Roth IRA.
  • Early Withdrawals: the Roth account owner will be subject to a 10% penalty when filing her income taxes if she withdraws her money before she is 59.5 years old (this penalty for withdrawing her money early is in addition to any ordinary income taxes that may be due for receiving money).
ZARZAR MODELS Top Modeling Agency For Fashion Models – Individual Retirement Accounts For Fashion Models & Actresses For Tax Free Income
ZARZAR MODELS Top Modeling Agency For Fashion Models – Individual Retirement Accounts For Fashion Models & Actresses For Tax Free Income

Above: ZARZAR MODELS Top Modeling Agency For Fashion Models – Individual Retirement Accounts For Fashion Models & Actresses For Tax Free Income.