Your future is closer than you think. Start saving now with a tax-advantaged IRA.1
Details
- Tax-advantaged savings for retirement1
- No setup fees
- No monthly or annual maintenance fees
- Rollover 401K funds
- Flexible term certificates from 6 months to 5 years
- Ability to make monthly contributions
- Payroll deduction available
- Traditional and Roth IRA options
- $500 minimum deposit to open IRA term certificate
1Consult a tax advisor.
Traditional vs. Roth
One of the biggest differences between a traditional IRA and a Roth IRA is the time at which you see the most advantage. A traditional IRA provides potential tax relief today, while a Roth IRA has the potential for the most tax benefit at time of retirement.
Traditional IRA
- No income limits to open
- No minimum contribution requirement
- Contribution limits apply1
- Contributions are tax deductible on state and federal income tax2
- Earnings are tax deferred until withdrawal (when usually in lower tax bracket)
- Withdrawals can begin at age 59 ½
- Early withdrawals subject to penalty2
- Mandatory withdrawals at age 70 ½
1Refer to the IRS website for current limits.
2Consult a tax advisor.
Roth IRA
- Contribution limits apply1
- Income limits to be eligible to open Roth IRA2
- Contributions are NOT tax deductible
- Earnings are 100% tax free at withdrawal2
- Principal contributions can be withdrawn without penalty
- Withdrawals on dividends can begin at age 59 ½
- Early withdrawals on dividends subject to penalty3
- No mandatory distribution age
- No age limit on making contributions as long as you have earned income
1Refer to the IRS website for current limits.
2Consult a tax advisor.
3Certain exceptions apply, such as healthcare, purchasing first home, etc.