Million Dollar Parent Roundtable
We help educate how to build credit, create businesses, and much more.
Welcome to the Million Dollar Parent ROundtable where parents sit and talk about creating Generational wealth for our children, and help our communities do the same thing.
05/03/2023
Parents can set up generational wealth for their children through a Roth IRA by following these steps:
Open a Roth IRA: The first step is to open a Roth IRA account for your child. This can be done through any financial institution that offers Roth IRA accounts.
Contribute regularly: Encourage your child to contribute regularly to their Roth IRA account. While the contributions won't be tax-deductible, the money will grow tax-free and can be withdrawn without penalty after age 59 1/2.
Invest in stocks and bonds: To maximize the growth potential of the Roth IRA, invest in a mix of stocks and bonds. You can choose individual stocks and bonds or invest in mutual funds or exchange-traded funds (ETFs).
Leave the money in the account: If your child doesn't need the money immediately, encourage them to leave it in the account. This will allow the money to continue to grow tax-free for years or even decades.
Transfer the account: Finally, when your child reaches adulthood, you can transfer the Roth IRA account to them. They will then be able to continue contributing to the account and growing their wealth tax-free.
By following these steps, parents can set up generational wealth for their children through a Roth IRA. It's important to start early and make regular contributions to maximize the potential growth of the account.
https://www.businessinsider.com/personal-finance/benefits-of-roth-ira
05/03/2023
Welcome to the Million Dollar Parent ROundtable where parents sit and talk about creating Generational wealth for our children, and helping our communities do the same thing. We help educate how to build credit, create businesses, and much more.