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Roth IRA

The definition of a Roth IRA is a type of tax-advantaged individual retirement account which allows the funds to be withdrawn tax free once the account owner reaches retirement age.

(noun)

An example of a Roth IRA is an account that you open for your retirement that receives special tax treatment from the IRS.

See Roth IRA in American Heritage Dictionary 4

noun

A modified individual retirement account in which a person can set aside after-tax income up to a specified amount each year. Earnings on the account are tax-free, and tax-free withdrawals may be made after age 59 ¹/₂ .

Origin:

Origin: After William Victor Roth, Jr. (1921-2003), U.S. congressman

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