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I need a little clarification regarding IRA contributions. If every year you contribute $2000.00 to regular IRA's (this being after tax dollars). When you turn 59 1/2 you are then required to withdrawal from the IRA, isn't this money then taxed again. So in effect aren't you taxed twice on the yearly contributions when you withdrawal out of your IRA (age 59 1/2).

I thought the benefit to an IRA is taxed deferred growth. With a Roth this is not the case - it just means that you will not be taxed on withdrawal. If a reg. IRA has to have withdrawals at age 59 1/2 what is this amount? Wouldn't one be able to reduce there income when they retire to offset there tax bracket?

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