The Finhabits app makes investing in your future an easy habit. Put your money to grow over time while you save - it's all automated, and in just 10 minutes, you can open Roth or Traditional IRAs as well as regular investment accounts. It’s that simple and you can start right here.

An IRA, or Individual Retirement Account, is a powerful financial tool that can help you grow your money over time and that's overlooked by most. One of the many benefits of opening an IRA, for example, is that it may allow you to save on your taxes. Contributing to a Traditional IRA (Individual Retirement Account) before the tax deadline of April 15 can help you save on your 2018 taxes. Yup, that’s right! You still have time to make the best out of this year’s taxes.

The time between January and April is a strange bubble in tax years where you can sort of pick & choose between the previous and current year. Opening and contributing to an IRA before the deadline is one of those things you’re able to potentially do to benefit the outcome of your taxes - and don't forget to include that amount on line 32 of your 1040. Plus, over time, your investment gains would compound tax-deferred. Just saying...

Reducing your taxes isn’t the only benefit of keeping an IRA handy. You, like many American workers, may have multiple 401(k)s throughout your life, or none at all since more often than not, small business owners don’t offer access to a 401(k) at all. Whatever the case may be, an IRA makes it easier for you to rollover any money you may have in a 401(k) and save for retirement if you don't have one.

While a 401(k) is an employer-sponsored plan, an IRA is set up by the individual and is portable, so your savings stick with you regardless of who you work for. The biggest difference between the two, however, is contribution limits. An employee can contribute up to $18,000 to their 401(k) account (and up to $24,000 if 50 years old or older). While some people argue that the contribution limit on IRAs, which is $5,500 (and up to $6,500 if 50 years old or older), renders it less beneficial, the fact is that on average, employees have an annual contribution of $3,300 on their 401(k)s which makes IRAs a great option for most Americans.

And the benefits of an IRA aren’t just short-term. Simply saving for the long-term is a smart habit and Finhabits’ financial advice helps you to put your money to grow over time and reach your goals faster. Luckily, opening a Finhabits IRA only takes ten minutes and because we automate your deposits, everything is easy and smooth - no paperwork, no waiting, no hidden fees.

What more do you need to know? Seriously, open your IRA today.

DISCLAIMER:

Finhabits Advisors does not provide accounting, tax or legal advice. Nothing in this email should be considered tax advice. This material is provided solely on the basis that it will not constitute investment advice and Finhabits Advisors is not a fiduciary with respect to any person by reason of providing the material or content herein.

Finhabits Advisors does not monitor whether a customer is eligible for a particular type of IRA, or a tax deduction, or if a reduced contribution limit applies to a customer. These are based on a customer’s individual circumstances. Certain IRA options may not be available due to your particular IRS qualification.