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how do i figure my roth ira taxes and how do i pay them i think that the money has to come out of the money i already put into my roth or does it??
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I think you are talking about the tax involved in putting money into a Roth IRA, or perhaps in converting a traditional IRA to a Roth.
You do not have to take the tax money out of the Roth, and your profit potential is much better if you don't take it out of your retirement funds.
Best wishes, Chris
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thanks for your reply--i guess i did not state my problem clearly--i recently started a new ira not from a conversion, i know i have to pay taxes for it up front--how do i do that? thanks for your help!:-)
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<< i recently started a new ira not from a conversion, i know i have to pay taxes for it up front--how do i do that? thanks for your help!:-) >>

Thanks for the clarification. I always hate replying "Huh?" <g>

Taxes have never been so easy as they are in your situation. Since Roth contributions are not deductible, they don't affect your taxable income. Thus, you don't even have to report them. In short, you do nothing on your tax return regarding the Roth contribution.

Do keep track of your contributions to your Roth IRA in case you ever take nonqualified distributions. The Forms 5498 sent to you and the IRS by the custodian are sufficient for this.

TMF ExRO
Phil Marti
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Dear Phil,
Thanks for answering my question. You really made my day--i have asked many people this question and none were able to help. Can you suggest a good guide to the roth ira? I am new to investing and I think that I might not have invested my roth as wisely as I could have. I never realized you could purchase stock w/it, but after ready the tax strategies board I wonder how better my money could be working for me. Thanks again!
Trish
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<< Can you suggest a good guide to the roth ira? I am new to investing and I think that I might not have invested my roth as wisely as I could have. >>

For good general investment advice, I think a great place to start is right here at TMF, with the 13 Foolish Steps.

TMF ExRO
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< Can you suggest a good guide to the roth ira? I am new to investing and I think that I might not have invested my roth as wisely as I could have. >
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This is an excellant source of information on IRA,
drill down to the bottom of the page for a lidex of articles

Good Luck Loafer409

http://www.smartmoney.com/ac/ira/index.cfm?story=rollover
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