The Roth Individual Retirement Account (Roth IRA) is a special type of account designation put on a custody account that gives it some incredible tax benefits. However, it also has certain restrictions, such as contribution amounts and types of investments held within the account. Money contributed to a Roth IRA comes from after-tax dollars. In other words, you do not receive a tax deduction for it. However, as long as you follow the rules, under the current system, you will never pay taxes on any of the profits you generate from the investments held within the Roth IRA, nor when you withdraw those profits. You can buy stocks, bonds, real estate, certificates of deposit, and other asset types within a Roth IRA.