How to Correct Roth IRA Overcontributions and Maximize Your Savings

Learn about fundamentals to consider before buying an individual stock and what to do if you over-contribute to a Roth IRA.

00:58 This Week in Your Money: What fundamentals should you consider before buying an individual stock? What should you do if you accidentally over-contribute to a Roth IRA? Hosts Sean Pyles and Elizabeth Ayoola discuss cautionary tales from the stock market to help you understand how to safeguard your investments. They begin with a discussion of Trump Media & Technology Group Corp (NASDAQ: DJT) and evaluate its performance since going public, then share tips and tricks on the importance of fundamental analysis, the risks of meme stock frenzy, and the value of diversification. 

09:21 Today’s Money Question: Investing writer June Sham and host Sara Rathner join Sean to answer a listener’s question about Roth IRA contribution limits. They offer a detailed breakdown of Roth IRA contribution limits, strategies for dealing with over-contributions, and ways to circumvent the 6% penalty tax.

In their conversation, the Nerds discuss: stock market, Roth IRA, investment strategies, Roth IRA contributions, portfolio diversification, meme stocks, DJT, fundamental analysis, Trump Media, personal finance, retirement planning, stock trading, financial guidance, investing insights, stock values, market forces, retirement contributions, penalty tax, excess contributions, income thresholds, traditional IRA, financial decisions, investing pitfalls, stock bets, smart investing, retirement accounts, tax-efficient savings, share values, individual stocks, stock performance, and avoid IRS penalties.

To send the Nerds your money questions, call or text the Nerd hotline at 901-730-6373 or email podcast@nerdwallet.com.

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