Roth IRA at Charles Schwab: 2024 UPDATED Guide (Open, Contribute, Invest)

[@robertschrader]

I am embarrassed to say that I am 39 and just now getting a Roth IRA opened. I shouldn't still be a newbie at my age, but I'm so thankful I found your content to help me navigate these new seas.

[@mojazzyhair]

Don’t feel bad! I started at 44. Wasn’t educated on these types of things neither..Better late than never 💯🙌🏾

[@bbthao]

Me, too.

[@vivalasylvia]

I just opened mine last year (36) and I had no idea I had to invest the money in my account (d'oh!). Trying to learn as much as possible now!

[@richardbernhard3373]

That’s OK I’m 60 and I just opened one three days ago. It’s never too late.

[@MrSane-ps2sh]

You're ahead of the game. i'm 54 and just opened my 1st Roth this week :( but better late than never :)

[@JoshyypooTCG]

Please dont stop making videos. been looking for a simply explanation on Roth IRAs and how they work and this did it! thank you!

[@slicklizardchamp]

I had my Roth with Schwab for 2 years but moved it to Robinhood because of three items: 1. No automatic investing on a scheduled basis. You can automatically add money to the account but you can’t automatically buy an ETF or whatever. So it was a pain to remind myself to buy. 2. Can’t buy a fractional share of an ETF, etc. Back to the pain in the butt thing above. 3. The 3% IRA march at RH is great and I also love their app layout and they have a widget feature so I can see my portfolio right on my Home Screen without going into the app. Schwab is a good brokerage and I’d go back but they need to make automation easier because that is why I left!

[@maitriunjia318]

Very detailed and well structured! Perfect video for beginners. Amazing job!

[@joycetheis6302]

Fantastic step-by-step guide to truly getting "invested" in IRA's, especially the ROTH IRA. Everyone who has not started investing for retirement, young or older, this is a MUST SEE! Great job, Alex Rae!!!

[@chelseadarouse3403]

The most thorough, informative, and non-bullshit video on Roth IRA and what to do with it that I have come across. Bless you.

[@rmp2012]

I cannot thank you enough for this video... I have been searching for weeks on how to actually make investments on the money I've invested into my Roth IRA and was not able to find anything until your video. THANK YOU!

[@LostinMinnesota]

Stumbled upon your video on trying to learn how to get a Roth with Scwab. This was amazing. Thank you

[@lotamama3859]

Opened up my Roth IRA at TD Ameritrade then Schwab swallowed up TD.

[@slimdilly_]

whats the implication here

[@moniquemikayla9021]

I opened a ROTH IRA a few months ago and I didn't invest. I have done the research before, but I ended up having more questions. I didn't know what to invest in and you really helped with the next step. Thank you!!!

[@thrdfyi]

By far the most helpful Roth IRA video I’ve found! Thank you so much for the detailed explanation, extremely helpful!

[@shilohaudere4840]

doing this was terrifying ... (I have money phobias) ...thanks for making it seem easy..I got set up today!

[@lashawannajoyner5993]

This is absolutely the best,easy, simplest video I've seen.. very very easy to understand.. thank you for taking your time to explain this! OMG...sooooo needed this

[@chamo310]

This was so incredibly helpful! I had no idea how to go about setting up an account at Schwab, much less funding it or investing in it. With your step-by-step, I was all set in a matter of minutes! (I do have to wait a couple of days till my first contribution clears, but other than that, I feel super comfortable navigating the account and ready to start investing. Thank you!

[@AlexQuinnYT]

That's fantastic! I bet Schwab just makes you wait on the first transfer (to make sure everything checks out with your bank).

[@k17m69]

This video was very helpful and informative for someone who is opening an IRA for the first time!

[@eightysevenhtx]

I found a new channel to watch as a beginner opening up a Roth IRA and brokerage account.

[@VanessaGonzalez-n9y]

You explain everything in much more detail than any video I have ever seen

[@johnmccormick1947]

thank you for making this video! im going to setup my account and begin to invest tomorrow. im 30 years old and waited too long to get something like this started, and I look forward to learning more, investing and watching my money grow!

[@youngryder9367]

Got really happy seeing a new video of yours on my feed 😊 Hope you’re doing well!

[@SebConte202]

Great video. Simple and to the point. WOW!!!!!!!!! 😱 Two thumbs up from me 👍!!!!!!

[@cameronm7445]

Clear, concise, and informative. Thank you for the awesome work and helping folks like myself.

[@Qqxx22]

Your break down of roth / traditional ira is too good. Thanks

[@TechVerse90]

ok, this video deserves so much more views. this was excellent! sharing on FB. thank you!

[@Josie2242]

I was stuck a few months ago and found your old video..super helpful. Shared it with so many friends❤

[@ProductResearchVirginia]

Thank you, very informative. Thinking on starting a roth ira but im 55 years old... too late to the game? Any advice would be appreciated.

[@StockSmartStrategies]

Excellent video with lots of great details.

[@clovercreative]

I used your original video to help me get started! I am thankful I started a few years ago

[@MsLanny9]

Thank you so much for explaining this in a step by step way. I'm really late but better now than never.

[@Andyg2g]

At long last! A new Alex Rae - Personal Finance video! So glad to see you back!!!

[@allikesmusic]

Loved it and it’s super informative! Just what I needed to see to get me started taking my investment to the next level with a Roth IRA

[@boxbrown4755]

Awesome as always. Please keep doing what you are doing!

[@corinnahogan4927]

This is so incredibly helpful. I opened a Roth IRA a few days ago and kept wondering. . . When do I see it grow? Do I have to do anything else with this? I was finding it really hard to get clear answers to those questions, but I found them here! Thank you so much!!

[@philcrowley007]

Watching in my 40s... And only just starting I feel so behind!

[@kojivsleo]

Thanks for the guide, started my account the day I found this.

[@Vegitobluuuuu]

Which choice is best Open account as : Brokerage Retirement Automated Investment Small business Checking Etc…

[@peirpoint56]

Great video and wish more younger people would start investing in either 401k or IRA. you don't want to rely on the government to send you a check monthly because its not enough to survive on.

[@annalysac435]

This was so helpful and exactly what I was looking for. Thank you!

[@Jupiter_Crash]

Miss your expertise so Thxs for posting!

[@timtheis9840]

Nicely done. Very informative!

[@7425398]

Can you please do a video of fractional investing, I’m trying to automate my life as much as possible and I think this is one of the best ways to do it, thank you!

[@nichetbutler3906]

What is the difference between Roth Contributions and a Roth IRA? I just started getting Roth contributions out of my pay with my traditional 401k. I will be fully vested next year and I need to do catch up contributions because my DMP , Debt Management Program will be paid in full by the end of next year. Should I contribute more to Roth contributions now or should I do a 50/50 between the Traditional? I am thinking about doing more of the Roth

[@Labellaunique]

So informative, thank you!

[@JonAllenMichael]

This was super helpful! Is there a way to automate a Roth IRA as well if it's comprised of ETFs and Bonds?

[@kyuubi1351]

Thank you for the video this was very helpful just recently opened an account

[@chrislancaster1982]

Thank you for doing this video. Very helpful.

[@DameFyffe-pv1jn]

This was very helpful, thank you!!

[@astralyzy7726]

This helped so much ty!!!

[@danielnunez3206]

great vid, thanks!

[@julianschianodicola4301]

This is such a great video! Thank you for the easy tutorial

[@kathym4600]

Can I buy an investment property with the money I contributed to my Roth IRA?

[@simoneduncan8875]

Thanks for your help, Alex. What a selfless service you are providing. ☺️🙏🏽 I would love to see a video on purchasing fractional shares on the S&P 500 as well.

[@AlexQuinnYT]

Thanks for watching! I'll add it to my list!

[@JennaJenna555]

Thank you for going into detail great video.

[@mahmudiftekharzamil7972]

@Alex Rae: Is it possible to open a Roth IRA account for spouse who doesn't have any income source but they file tax as married jointly. Can you make a video on this topic. Thanks and keep making videos!

[@nichetbutler3906]

I am also over 50

[@khamisikinney1842]

I kearned a lot thanks alot. I am about to set mines up and transfer moneybout my 401k into this awesome.

[@janismcgowan9283]

Thank you, very helpful. Do they (Schwab) offer investment advice on how to rebalance your portfolio once you have a roth opened with them?

[@clevachloe6988]

Hello Alex, can you please explain why Roth IRAs cross over with stocks? It truly doesn't make any sense, I can only understand it like you're gambling on stocks with your IRA account. What is the purpose of the stock market being involved AT ALL with your IRA? What happens if a stock you're betting on goes down? Would that lower the amount of money in my IRA?

[@angeleyh1468]

omg this is sooo useful!!!!! thank you for doing this!!!!

[@AjayRohaz]

Great Video and VERY informative ! A+

[@kayne3232]

Thanks for making this.

[@CoolManDudeRN]

Thank you!

[@TheTruthseeker707]

Great simple info.

[@nickolguin1241]

Thank you for the video. I was lost.

[@rizzxx7]

Thank you so much. I wish there was a way the money going into Schwab from my paycheck biweekly to automatically go into SCHB without me having to do it manually

[@alrocky]

Schwab does have an Automatic Investment Plan with $100 minimum transfer.

[@arcelynjosue304]

Hi Alex! I have come across to your videos while searching about ROTH IRA. Your video helps me a lot but i have more questions concerning ROTH IRA.

[@arcelynjosue304]

What happens if a person has already contributed the max amt of $8000 to his ROTH IRA acct for 2024 but his annual income is more than $161k? Does he have penalty ? What is the best thing to do? Widraw his money from his ROTH IRA acct?

[@etalc1404]

Nicely done and great information. If you have a Schwab Roth IRA with cash parked in their Bank Sweep waiting for a pull back on a stock or ETF.... can you park the money in a Money Market to get a better interest rate?

[@andrescervantes2417]

I am a college student so I am currently unemployed. Are there alternatives I can take to start investing my money, similar to Roth IRAs? It’s great to start young!

[@romanceenhancer1]

Great video!

[@luketagarao9787]

When you set up your monthly contributions, let’s say $100 a month, that would be $1200 a year. Could you make a manual contribution of $5800 to max out your contribution at $7000? Thanks for the video and the information that you share, it’s truly appreciated. Stay blessed!

[@alrocky]

Q1 Yes

[@TravelingTheWorld1993]

Great and easy to understand video! I contribute to a Roth 401k . I have been thinking about opening a Roth IRA. Because I want to get that five year rule out of the way. I won't be actively trading and will be investing for the long term. And I would like low fees. Since you have used Fidelity , Vanguard and now are using Charles SCHWAB. Which one would you recommend? Thanks

[@jeremypincock323]

Thank you very easy now

[@meanguy1]

What if I start a Roth IRA when my salary is $100,000 but after several years the salary rises above the $160,000 limit? I can no longer contribute?

[@kimberlySalkeld]

could you go over investments like etfs that have already been invested in and how each gains or contributes to your overall account?

[@mcrayfourd]

robinhood is now offering 3% to transfer IRA account thats juicy

[@miluardo]

You're back!

[@JWookie4]

When do you pay taxes on the Roth? Does Charles Schwab take out the taxes every month or do you pay the government at the end of the year?

[@AlexQuinnYT]

There's no extra taxes on Roth contributions. The technical way to look at it is that you're using after-tax money contribute to a Roth IRA. Assuming you're a W-2 employee, your employer withholds estimated taxes from your paycheck. You use that money to fund your Roth IRA, just like you would buy groceries or pay rent. So it's not like you get double-taxed on Roth IRA contributions... you just don't get any tax *break* for your contributions like you would for a Traditional IRA. (And the Traditional IRA then taxes you on withdrawals, so it roughly evens out in theory.)

[@farshadrozati5334]

Once you get the funds transferred from your Roth IRA to a stock/etf would it still count underneath the Roth IRA category? I am guessing it should and that we should still have the option to withdraw our contributions (not earning) at any time as long as the value of the stock hasn't gone down.

[@tryhardgaming1428]

If you are doing the 3 fund portfolio strategy, would you purchase more shares from each of those funds every time you make a desposit into the Roth IRA?

[@AlexQuinnYT]

Correct. There's no way to set it up automatically, unfortunately. If you choose to invest in mutual funds instead, Schwab does offer automatic investing with a limited selection of mutual funds: kzbin.info/www/bejne/fKC6nq1urd14rNk

[@phungsy8787]

Thank you for this video. I have a question. Say I retire before my spouse, can I still continue contributing to my Roth IRA account as long as we file taxes together under his income?

[@fiona7933]

thanks so much, so informative and easy to understand. my question is whether you recommend using schwab's robo advisor in a charles schwab roth ira? i just started working and barely know anything about investing and i'd like to have my account be as automated as possible, but i don't see anywhere talking about whether or not that's a good idea T-T

[@Blackcatlucky137]

That's true thank you! U are best!

[@nataliamiranda7960]

One time transaction? And leave it? The Found portfolio will take the money from my account every month? Week? I just opened the IRA

[@th1nk.OUTLOUD]

A little embarrassed because I didn’t know Schwab offered ROTH IRA investment accounts. but are w2 employees allowed to roll over their 401k from one brokerage to another? without incurring additional fees? I’m curious about whether or not the average American would need or benefit from a regular high yield savings account vs. the IRA 🙌🏽 also your IRA is cash based 🙌🏽💡

[@LinoPR-ds2ke]

My only confusion is after I have invested what happens if every month I add money, what happens when you make a deposit to the Ira, do you buy more investments or leave it aloe and does it grow by itself

[@matthewlee1438]

Might sound like a dumb question, however I really like the 3-Fund Portfolio Strategy, but what is your opinion on investing in the SWPPX (S&P 500 Index), or would this count as a US-based index fund? Thank you.

[@arturohernandez3887]

Hi. I'm new in you're channel. The video eis excelente. And my question is. Can I star a IRA and the at the move the money to an ROTH IRA without losing tax advantages ? Thank you

[@ianscianablo8507]

Hi Alex! Can I put my whole (over $ 8000) of my past jobs 401K into the ROTH IRA in my first ever brokerage account? Even though I have a new 401K for this past year with my new job? Or am I forced to only put $8000 of my older 401K balance into my ROTH IRA? Can I do that? Thank you!!

[@cheezsticks2071]

amazing video thank you so much :3 also if im putting in $583 a month, do i split the shares 60/40 like you using SCHB & SCHF?

[@KanadeTachibana12]

Are you wearing a Star Trek uniform

[@amodjmanga8512]

I currently have a Rollover IRA with Schwab. I am thinking of also opening a Roth. Is it possible to add a Roth as second account without opening a whole new brokerage account?

[@GraceJones-nr7en]

not clear how to fund to fund transfer HSA to HSAB in Schwab can you help

[@laconsultant]

Why would anyone get a non-Roth IRA, taxes only go up astronomically each year.....

[@tamarraj]

Some people are currently in very high tax brackets and contributing to a traditional IRA helps to reduce that tax burden. And when they do have to withdraw from the IRA they may likely be in a lower tax bracket.

[@javilpatel3654]

Hi, I have a quick question I just graduated college. and for my job started in June. By the end of the year I estimated I will make $119,380.31. I am filling single will I be about to contribute without getting fined? But my total salary for the year is above the limit. But since I started in June, I will not reach the limit by the end of the year.

[@donguadalucio1405]

What if I want to trade options? Can I do it with the Roth IRA?

[@mikedowell8465]

I have a IRA with Fidelity that is "professionally managed" by them. I spoke with my Financial Advisor today and he mentioned I'm doing just fine the way things are as opposed to managing the IRA by myself. Any thoughts?

[@alrocky]

What is their fee for managing your IRA?

[@armanirios385]

Just opened my Roth IRA at 20 - I have a money market account with a couple grand - should I transfer those funds to my Roth IRA instead? Thanks for an amazing video

[@AlexQuinnYT]

Totally up to you, but a Roth IRA is definitely a great place to park extra money!

[@ldp123100]

Can i contribute little amount only $300 for Roth IRA? Even my age already 64? 😅

[@rodolfomartinezcaraballo6358]

This form of investment would apply to non-U.S. citizens.

[@henrymakwini8166]

Is there away to reach you

[@curesnow6493]

Hi Alex. Thanks for your video. When I was placing order for SWPPX, I don’t know what to select for “reinvest type” on Charles Schwab Roth IRA. Should I select “dividends and capital gain”?

[@chadbelcher6208]

Yes.