what is a traditional ira 
a traditional individual retirement account ira allows individuals to direct pre tax income toward investments that can grow tax deferred the irs assesses no capital gains or dividend income taxes until the beneficiary makes a withdrawal individual taxpayers can contribute from qualified earned compensation 1income thresholds may also apply contributions to a traditional ira may be tax deductible depending on the taxpayer s income tax filing status and other factors retirement savers may open a traditional ira through their broker including online brokers or robo advisors or financial advisor 