Hey traders,
Back in 2020, I set up a Roth IRA with a little over ten grand.
Nothing fancy. Just wanted to see what I could do with a tax-free account.
Fast forward to now… that account cleared over $3 million.
Not exaggerating.
And I didn’t pull it off with some boring ETF strategy or by stuffing money into mutual funds.
I traded inside the Roth. Same patterns. Same plays. Just in a setup where the IRS couldn’t touch my profits. Zero taxes on the gains. Ever.
That’s when it clicked for me.
I’d spent years flipping tickers and growing my accounts, but I hadn’t really thought about how I could protect the gains.
When I opened the account, it felt like flipping a switch.
The mindset changed. I stopped chasing everything. Got more selective. Started focusing more on setups that could give me those clean, outsized moves.
Because when the gains are tax-free… every trade feels heavier. In a good way.
You can’t short in a Roth, and there are a few restrictions.
But honestly, the simplicity helped. I only focused on my best stuff.
And it forced discipline. No margin. No funny business. Just pure price action and execution.
That’s what I wanna share with you today, how I grew that account and why I think every trader (especially those just getting serious) should consider doing the same.
When I first opened that Roth IRA, I didn’t really expect much.
It felt like something responsible people do.
You know… retirement stuff.
But then I realized what I actually had in front of me, a way to trade and never pay taxes on the profits.
And that changed everything.
Once I started treating that account like it mattered, like it wasn’t just for “someday” my trading leveled up fast.
I stopped thinking short-term.
I wasn’t trying to hit home runs every week.
I was stacking clean, calculated trades. The kind that can compound quietly when you don’t have the IRS taking a cut.
The beauty of the Roth is simple: you pay taxes on the money before you deposit it… and then never again.
So all the gains, all the wins, they’re yours!
No capital gains tax or worrying about what you owe come next April. Just pure profit.
That alone makes it worth setting up.
And yeah, there are a few limits. You can’t short. You can’t use margin.
But honestly, those things are overrated for most traders.
My best wins have always come from the long side anyway.
And having those limits inside the Roth forced me to stay sharp.
If a trade didn’t scream A+, I let it go.
I wasn’t trying to churn just for action. I was protecting something that actually mattered.
That focus paid off.
I started locking in trades that I knew would hold up over time.
Clean breakouts. Low float runners with real momentum. Stuff with clear catalysts and real volume.
The same setups I’ve traded for years, but inside an account that grows without tax drag.
The compounding adds up way faster than most people realize.
For anyone who trades part-time or has another income stream, it’s even more of a no-brainer.
If you qualify to contribute (based on income), you can open one up and fund it with after-tax dollars.
From there, you’re in control. Pick the broker you like. Fund the account. Trade your best stuff. And know that every time you lock in a win… it’s yours to keep.
This is one of those things I wish I’d done sooner.
Not because I feel like I missed out, but because I see how powerful it is when you play the long game with a short-term edge.
That’s really what trading inside a Roth is. It’s long-term wealth built off short-term moves.
And if you’re just learning or trying to find your groove right now, this is the perfect time to think bigger than just the next trade.
Think about how you want your gains to work for you five, ten, even twenty years from now.
The Roth account gives you that edge.
If you’re serious about trading and you want to build real gains, not just flip accounts up and down every year, this kind of account changes how you operate.
It did for me.
And if you’re not sure where to start, I’ve got plenty more I can share.
Some of my favorite trades from the Roth account, a few mistakes I made early on, and how I’d do it all over again if I was starting today.
Also, quick heads up; if you want access to the same patterns and setups I used inside the Roth, The Challenge is still open.
Real market education that works if you take it seriously.
Trade safe,
Jack Kellogg
P.S. I learned most of what I know from Tim and the Challenge. The 8-Figure Advisory has the same tools, alerts, and mindset breakdowns that helped me grow fast early on. Check It Out!