If you are like most Americans investment lingo can be confusing. But, like any other subject, the more you are exposed to its language the better you understand it. Here are some helpful definitions of commonly used accounts to help you begin your investment investigation. It is a generic term covering many different types of annuities, CDs, insurance policies and stocks. For information on what is taxed contact your financial advisor.
IRAs don t require a consistent yearly deposit.
A Roth IRA is something a little more specific. Annuities can be IRAs and are like life insurance with no death benefit. Or you can pay it in a lump sum. You also are not obligated to make the monthly payment. You can skip payments.