Craig Wear, CFP®Craig Wear, CFP® | Expert in Roth Conversions & Tax-Efficient Retirement Strategies for IRA Millionaires

In 2025, Roth IRA limit stays $7k. Growth is tax free.

6 Oct 2025 · 1 min

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Craig Wear, CFP® gives short-form advice on using a Roth IRA in 2025. He states that the 401(k) contribution limit rose to $23,500 while the Roth IRA contribution limit remains $7,000 (about just under $600/month), then discusses investment choices for Roth accounts—favoring low-cost index funds and ETFs or concentrated individual stocks (examples: Apple, Costco, Google)—and notes high earners should consider a backdoor Roth.

Questions this video answers

$23,500

$7,000 per year (about just under $600 per month)

Chapters

So the smartest way to invest Inside your Roth IRA For 2025, the 401k limit went up to $23,500. The Roth IRA limit is still $7,000 a year, which is about just under $600 a month. But what should you invest in? Well, you got a lot of options, but a couple of the more favorite are number one is maybe index funds and exchange traded funds or ETFs. They're simple, they're low cost, they're diversified, and most of them are passive managed. Or you could use individual stocks that you really believe will still be thriving at retirement or for the next several years. So think Apple, Costco, Google, that sort of thing. But if you earn too much for a regular Roth ira, look into a backdoor Roth and you can get more information about that.