What are the negatives of an ira?

Disadvantages of IRAs One drawback of using IRAs to save for retirement is that the annual contribution limits are relatively low. Roth IRAs offer tax-free withdrawals for Future You. However, if you're struggling to save, taking a tax deduction now by contributing to a traditional IRA might be just the carrot you need to keep your retirement savings on track. There are a few things to know, mainly the positive and negative tax implications if you're considering a Roth IRA.