A lot of people are not too clued up on financial schemes, funds and other banking services. If you are one of them too, you should know that you’re missing out on many a money making/saving opportunities available out there. One example would be IRAs or Individual Retirement Accounts, which simply put, allow you to stock up money for your retirement with many tax breaks and benefits. What is more, there are numerous types of IRAs, and depending upon the nature of your need and eligibility, you can choose one that is most suitable for you. Read on to learn about the various types of IRAs presently in vogue.

1. Individual Retirement Accounts

Basically, IRAs are set up with financial institutions such as banks, brokers or mutual funds, much like any other money-related account. The contributions to an IRA are typically invested in a specific kind of security from bonds and stocks to the money market and CDs, etc. IRAs may be set up in various modalities, with the broad classification being between traditional IRAs and Roth IRAs.