Individual Retirement Accounts (IRAs)
While retirement may seem light years away, the truth is it will be here in a flash. It's never too early to start saving, and IRAs offer certain tax advantages.* We have different plans to meet different financial situations. We also offer Coverdell accounts to save money for higher education. Invest in your future today.
- Save for retirement or future education expenses
- Traditional, Roth, and educational IRAs available
- Earn competitive dividends to grow savings quickly
- Competitive returns
- Flexible term options
- Various tax advantages* (Consult your tax advisor)
- $25 annual maintenance fee
- $25 termination fee (Rollovers, Transfers, Withdrawals)
- No minimum deposit to open
The information provided by these calculators is for illustrative purposes only and is not guaranteed. The default figures shown are hypothetical and may not be applicable to your individual situation. Please consult a Member Services Representative prior to relying on the results.
There are advantages to both traditional and Roth IRAs. One of the biggest differences 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
- Contributions are tax deductible on state and federal income tax*
- Earnings are tax deferred until withdrawal (when usually in lower tax bracket)
- Withdrawals can begin at age 59 ½
- Early withdrawals subject to penalty**
- Mandatory withdrawals at age 70 ½
Roth IRA
- Income limits to be eligible to open Roth IRA***
- Contributions are NOT tax deductible
- Earnings are 100% tax free at withdrawal*
- Principal contributions can be withdrawn without penalty*
- Withdrawals on interest can begin at age 59 ½
- Early withdrawals on interest subject to penalty**
- No mandatory distribution age
- No age limit on making contributions as long as you have earned income
*Subject to some minimal conditions. Consult a tax advisor.
**Certain exceptions apply, such as healthcare, purchasing first home, etc.
***Consult a tax advisor.
- Set aside funds for your child's education
- No setup or annual fee
- Dividends grow tax-free
- Withdrawals are tax-free and penalty-free when used for qualified education expenses*
- Designated beneficiary must be under 18 when contributions are made
- To contribute to an ESA, certain income limits apply**
- Contributions are not tax deductible
- $2,000 maximum annual contribution per child
- The money must be withdrawn by the time he or she turns 30***
- The ESA may be transferred without penalty to another member of the family
- No minimum deposit to open
*Qualified expenses include tuition and fees, books, supplies, board, etc.
**Consult your tax advisor to determine your contribution limit.
***Those earnings are subject to income tax and a 10% penalty.