Tiaa roth ira
Explore the tax benefits of a Roth IRA.
With a Roth IRA you’ll contribute after-tax money, earnings grow tax-free and then when you meet certain qualifications, your withdrawals will be tax-free.1
What is a Roth IRA?
A Roth individual retirement account, or Roth IRA, is an investment account that is designed to help you save for retirement and reduce your taxes later in life, when you may be in a higher tax bracket than you are now.
Contributions: You contribute money that's already been taxed (as opposed to a traditional IRA where you put in pretax money), so your contributions and earnings in a Roth IRA grow tax-free.
Withdrawals: You can withdraw your contributions (money you’ve put in to your IRA) at any time, tax-free. You can withdraw your earnings (money you’ve made from your investments) without paying taxes as long as you're 59½ years old and made your first contribution at least five years ago.
A Roth IRA may be for you if you think you’ll be in a higher tax bracket later in life or want the ability for your money to grow tax-free.
Roth ira benefits
Tax-free withdrawals.
Tax-free earnings.1
Tax benefits
Earnings on your investment grow tax-free and when you meet certain qualifications, your withdrawals will be tax-free in retirement. Your beneficiaries won’t be taxed, either.
Flexible money
Withdraw contributions anytime without taxes or penalties.
Simple qualifications
Anyone can open a Roth IRA. To contribute your income needs to fall within IRS limits.
How we’re different
Get guaranteed growth and retirement checks for life.2
When you open an IRA with us, you have the opportunity to save in TIAA Traditional,* our flagship fixed annuity. You’ll get guaranteed growth no matter what’s happening in the market. When you’re ready, you can activate lifetime income and receive retirement checks for as long as you live. And because it’s a Roth IRA, those distributions could be considered tax-free.1
*Issued by Teachers Insurance and Annuity Association of America (TIAA), New York, NY.
How an ira works
How to open and invest with a Roth IRA.
We’ve made it easy to open an IRA and can be your partner as you get started and choose your investments.
Apply online or over the phone.
Start your IRA application online or call us at 844-TIAA-IRA (844-842-2472).
Fund your IRA.
Make a contribution or roll over money from your previous retirement account (by direct transfer or check).3
Choose your investments.
Decide how you want to invest. Choose a streamlined option, like a pre-built portfolio, to make investing simple. Or manage your investments yourself, choosing among our annuities, mutual funds, socially responsible investments and more.
Track your progress.
After you invest you can see how your money may have grown and manage your investments by logging in to your account.
Next steps
Ready to start? Open your IRA online in less than five minutes.
Open an IRA.
Open your IRA online or give us a call at 844-TIAA-IRA (844-842-2472). We’re here Monday through Friday, 8 a.m. to 7 p.m. (ET).
Roll over.3
We make it simple, with zero costs or fees.
Contribute.
Make a contribution to your existing IRA by logging in to your account.
Find out which IRA is right for you.
Our IRA selector tool can help you choose an IRA that can work for your unique financial needs and retirement goals.
Compare options
Roth IRA versus traditional IRA
The main difference between a Roth IRA and traditional IRA is the way they are taxed. With a Roth IRA you put in after-tax money so you won’t be taxed on qualified withdrawals1 – including the earnings - in retirement.
Roth IRA
Earnings grow tax-free and you won’t pay taxes on qualified withdrawals in retirement.
Tax benefits
- Contributions: Come from after-tax money
- Investment growth: Tax-free
- Withdrawals: Tax-free qualified withdrawals after age 59½.
Additional guidelines
- Eligibility: Anyone who earns income can open a Roth IRA; to contribute, you need to fall within IRS income limits
- Age limits: None; contribute at any age
- Withdrawals: Never required
May be for you if you think you’ll be in a higher tax bracket later in life, like when you retire.
Traditional IRA
Your potential earnings will grow tax-deferred.
Tax benefits
- Contributions: Come from pretax money; tax deductible
- Investment growth: Tax-deferred
- Withdrawals: Taxed at your current income level
Additional guidelines
- Eligibility: No requirements; anyone who earns income is eligible
- Age limits: None; contribute at any age
- Withdrawals: Required by age 734
May be for you if you think you’ll be in a lower tax bracket later in life.
What people ask us.
How does a Roth IRA work?
A Roth individual retirement account, or Roth IRA, is an investment account that helps you save for retirement and is designed reduce your taxes later in life, when you may be in a higher tax bracket than you are now.
How it works:
- Step 1: Open your account. At TIAA you can open online or over the phone at 844-TIAA-IRA (844-842-2472). We’re here Monday - Friday, 8 a.m. - 7 p.m. (ET).
- Step 2: Make a contribution or roll over money from your previous retirement account.
- Step 3: Choose your investments. TIAA offers a wide range of choices, and can help guide you with complimentary advice.
- Step 4: Track your progress to see how your investments are doing and make adjustments as needed. TIAA IRAs come with complimentary advice, so you can work with a financial professional as you manage your account.
What is the Roth IRA age limit?
Roth IRAs do not have age requirements for opening an account or for withdrawals.1
How much can you put in a Roth IRA each year?
Roth IRA contribution limits vary by age.
2024 Roth IRA contribution limits
- Under 50 years old: You can contribute $7,000
- 50 years old or older: You can contribute $8,000
2025 Roth IRA contribution limits
- Under 50 years old: You can contribute $7,000
- 50 years old or older: You can contribute $8,000
Who can open an IRA?
Anyone can open a traditional IRA. The IRS sets income-based guidelines on who can contribute a Roth IRA.
How does a Roth IRA conversion work?
A Roth IRA conversion is when you convert your retirement account, typically a traditional IRA, 401(k) or 403(b), into a Roth IRA. You may pay taxes on the money that you move into your Roth IRA. Once the funds are in the Roth IRA, you won't pay taxes on qualified withdrawals or earnings. You can find out if converting to a Roth IRA makes sense for you with our Roth IRA conversion calculator.
Ira resources
Keep learning with our IRA Resources
Learn more about Roth IRAs
Get practical guidance on investment options.
Which IRA is right for you?
Our digital tool can help you decide.
After-tax Roth versus pretax plan contributions
Which is right for you?
We’re here to help.
Give us a call at 844-TIAA IRA (844-842-2472), weekdays, 8 a.m. to 7 p.m. ET, or schedule an appointment.
This material is for informational or educational purposes only and is not fiduciary investment advice, or securities, investment strategy, or insurance product recommendation. This material does not consider an individual’s own objectives or circumstances which should be the basis of any investment decision.
1 Withdrawals of earnings prior to age 59½ are subject to ordinary income tax and a 10% penalty may apply. Earnings can be distributed tax free if distribution is no earlier than five years after contributions were first made and you meet at least one of the following conditions: age 59½ or older or permanently disabled. Beneficiaries may receive a distribution in the event of your death.
2 Any guarantees under annuities issues by TIAA are subject to TIAA's claims-paying ability. Additionally, retirement check refers to the annuity income received in retirement. Guarantees of fixed monthly payments are only associated with TIAA's fixed annuities.
3 Before rolling over or consolidating assets, consider your other options. You may be able to leave money in your current plan, withdraw cash or roll over the assets to your new employer's plan if one is available and rollovers are permitted. Compare the differences in investment options, services, fees and expenses, withdrawal options, required minimum distributions, other plan features, and tax treatment. Speak with a TIAA consultant and your tax advisor regarding your situation. Learn more at TIAA.org/reviewyouroptions.
4 Your RMD Applicable Age was 70 ½ if you were born before 7/1/49; 72 if you were born on or after 7/1/49 or in 1950; 73 if you were born between 1951 and 1958; 75 if you were born in 1960 or later. If you were born in 1959, federal guidance is needed to determine if your RMD Applicable Age is 73 or 75.
Annuity contracts may contain terms for keeping them in force. We can provide you with costs and complete details.
TIAA Traditional is a fixed an annuity issued by Teachers Insurance and Annuity Association of America (TIAA), 730 Third Avenue, New York, NY, 10017: Form series including but not limited to: 1000.24; G-1000.4; IGRS-01-84-ACC; IGRSP-01-84-ACC; 6008.8. Not all contracts are available in all states or currently issued.