[net.invest] Short-Term IRA's

jgpo (01/27/83)

A few days ago, someone mentioned here that an IRA could be used as
an effective medium-term investment.  Even considering the 10% penalty
for early withdrawal, with the tax deferral, an IRA could have a break-
even point VS other investments of about 10 years, depending on yield,
tax bracket, etc.  If anyone has any information about this, I would
like to receive it.  I'm thinking about an IRA, but I don't want to
tie up my funds for the next 31 years.  If I can get the tax shelter AND
still get access to my money in a reasonable amount of time (such as
a decade), I would feel I've "had my cake and eaten it, too."

Is this a plausible thing to do?  Any comments and/or suggestions would
be more than welcome.

Please reply via mail and I will post the results to the net.


	Thanks in advance,
	John
	...!iwsl2!jgpo

PS:
What about the relative (dis)advantages of IRA's VS tax-free municipals?