Individual Retirement Accounts (IRAs)
Begin saving for retirement while you're still earning income. IRAs offer tax-advantaged ways to set aside funds and are considered a great way to plan for your financial future. Choose to open a Roth or Traditional IRA, depending on your situation.
- Tax-advantaged* way of saving for retirement
- Earn competitive dividends higher than primary Savings
- Choose between Traditional and Roth IRAs
- Contribute as often as you like
- $5,500 annual contribution limit (as of 2013)
- Additional $1,000 catch-up contribution allowed for ages 50+
- No setup or maintenance fees
- $1,000 minimum opening deposit required
*Consult a tax advisor
- Traditional vs Roth
- Anyone under age 70½ may open
- Contributions are tax deductible on state and federal income tax*
- Withdrawals may begin at age 59½
- Early withdrawals subject to penalty**
- Mandatory withdrawals begin at age 79½
*Consult a tax advisor.
** Certain exceptions apply, such as healthcare, purchasing first home, etc.
- Must earn less than income limits (as of 2013)
- Annual income limit for singles is $127,000
- Annual income limit for couples is $188,000
- Contributions are not tax-deductible
- Earnings are tax-free at withdrawal
- Principal contributions may be withdrawn without penalty
- Withdrawals on interest may begin at age 59½
- Early withdrawals on interest subject to penalty**
- No mandatory distribution age
*Subject to minimal conditions
**Certain exceptions apply, such as healthcare, purchasing first home, etc.