Biden's Tax Plan Makes Roth IRA Retirement Savings Even More Attractive
The word is out that President Biden plans to give the federal tax on capital gains a makeover. But the results may not be so pretty for stock investors. It could mean a higher tax bill that could eat into an investor's gains accumulated in the stock market.
One of the best defenses against future tax liabilities is a tax-advantaged account like a Roth IRA (individual retirement account). For younger investors, investing in a retirement account may not be as glamorous as putting money in a regular brokerage account. But it can pay dividends in the future -- especially when you are protected against unexpected tax hikes.
Here's a look into Biden's tax plan and how the Roth IRA can come in handy.
Source Fool.com
