pnovak (01/26/83)
An interesting article appeared in the Chicago Tribune business section on 25 January. It suggested IRAs as a short term saving mechanism and explained that even after paying the 10% early withdrawal penalty, you could be better off with an IRA than other investments because the interest earned in a IRA is not taxable until withdrawal. Depending on your income, marginal tax bracket, and marital status, and interest rates of IRAs and competing investments, the break-even point ranged from 4-14 years. Paul Novak ihlpb!pnovak