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Investments glossary

Heroes Earned Retirement Opportunities Act (HERO)


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The Heroes Earned Retirement Opportunities Act (HERO) is a 2006 law that allows military personnel to fund their individual retirement accounts (IRAs) with combat pay. It is a tax break designed for those who have served in combat zones. Under the law, combat-related compensation paid since January 2004, which is tax-free, can be used to fund IRAs.

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